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NASHUA AIRPORT AUTHORITY
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
For the Year Ended June 30, 2021

members, excluding contributions to separately finance specific liabilities of individual employers or
NHRS. At June 30, 2020, the Authority's proportion was approximately 0.0064 percent, which is an
increase of .0001 percentage points from its proportion measured as of June 30, 2019.

For the year ended June 30, 2021, the Authority recognized pension expense of $54,593. At June 30, 2021,
the Authority reported deferred outflows of resources and deferred inflows of resources related to pension
from the following sources:

Deferred Deferred
Outflows of Inflows of
Resources Resources

Differences between expected and actual
experience $ 11,160 §$ 4,437

Changes of assumptions 40,880

Net difference between projected and actual earings
on pension plan investments 25,561

Changes in proportion and differences between Authority

contributions and proportionate share of contributions 23,982 2,001
Authority contributions subsequent to the
measurement date 30,550

Totals $ 132,133 $ 6,438

The net amount of deferred outflows of resources and deferred inflows of resources related to pension is
reflected as an increase to unrestricted net position in the amount of $125,695. The Authority reported
$30,550 as deferred outflows of resources related to pension resulting from the Authority’s contributions
subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the
measurement period ended June 30, 2021. Other amounts reported as deferred outflows of resources and
deferred inflows of resources related to pension will be recognized in pension expense in the measurement
periods as follows:

June 30,
2021 $ 30,122
2022 21,616
2023 22,745
2024 20,662

S_ 95.145

130

Finance Committee - 6/6/2018 Page 4

Alderwoman Kelly

Thank you Mr. Mayor. So are we realizing some cost savings by putting this together with the project that is
currently going on?

Mr. Dookran

That is true. We won't pay costs like mobilization of equipment and it is very similar work so the pricing is good
so we are realizing some savings.

Alderman Caron

Thank you. So! am understanding that this work is from East Hollis to Bower Street only. That is part of
Marshall Street, that whole area?

Mr. Dookran

Yes that is the piece that is remaining to be separated over the years gone by, we have completed separation
from Bowers all the way to Harbor Avenue, a very long section and we don’t have any problems there
anymore. But this remaining section was left to be done.

Alderman Caron

Ok so that was the last piece. Thank you.
Mr. Dookran

That’s correct.

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
THIBEAULT CORPORATION IN AN AMOUNT NOT-TO-EXCEED $35,000. FUNDS ARE AVAILABLE IN
DEPARTMENT 169, WASTEWATER; CSO FLOODING

MOTION CARRIED

Mayor Donchess

Now we will return to the regular agenda.

From: Dan Kooken, Purchasing Manager
Re: Purchase of Personal Protective Clothing/Equipment (Value: $14,949)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AUTHORIZE THE PURCHASE
FROM GLOBE MANUFACTURING IN THE AMOUNT OF $19,949. FUNDS ARE AVAILABLE IN
DEPARTMENT 152, FIRE; GENERAL OPERATING FUND

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Purchase of Mitsubishi Air Conditioning Units (Value: $26,448)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
AAA ENERGY SERVICES IN THE AMOUNT OF $26,448. SOURCE OF FUNDING IS DEPARTMENT 157,
CITYWIDE COMMUNICATIONS; ESCROWS AND BOND FUNDS

Finance Committee - 6/6/2018 Page 5

ON THE QUESTION

Alderman Klee

When | am looking at this | see that there was one bid that was a little lower, why did we not go with that?
William Mansfield, Radio Systems Manager

So we did go with the bid, there were several bids, the lowest bid was Home Depot. They left a few things out
of the initial contract that went back to them; they came back with another price. Then | did an apples to
apples comparison of what they were giving us for air conditioning units. The air conditioning units they were
proposing were residential units and all the other ones were commercial units. Just so you know, these air
conditioners actually do run around the clock, 365 days a year. They are not residential where it only runs in
the summertime. So the units there are used to cool all of the servers for the radio system.

Alderman Klee

Okay thank you.

Alderman Laws

You will have to forgive me, there was 440 pages to sort through for the Finance Agenda today but | couldn’t
find like warranty information on this. Did you do a comparison between the warranties from the Home Depot
and from the other contract?

Mr. Mansfield

Yes | have to dig in my pile as well. | believe that the Triple A proposal had the better warranty, they offered |
believe it was 5 years compared to the Home Depot which was a 1 year. Just looking to confirm that but | am
pretty sure that is what it was. | don’t see it so | apologize for that.

Alderman Laws

Would you mind just letting us Know at some point in the future, | would appreciate it.

Mr. Mansfield

Absolutely.

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Purchase of Nashua/Manchester Redundant Communications Center (Value: $505,899)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AUTHORIZE THE PURCHASE
FROM MOTOROLA SOLUTIONS, INC., IN THE AMOUNT OF $505,899. FUNDS ARE AVAILABLE IN

DEPARTMENT 157, CITYWIDE COMMUNICATIONS; NASHUA/MANCHESTER COMMUNICATIONS
RESILIENCY GRANT

ON THE QUESTION

Mayor Donchess

And these are grand funds correct?

Finance Committee - 6/6/2018 Page 6
Mr. Mansfield

Correct.

Mayor Donchess

So there is no City money involved here?

Mr. Mansfield

No, none whatsoever.

Alderman O’Brien

Thank you Mr. Mayor. Question to Mr. Mansfield, Manchester is equally seeking grants too on some of this
when they can if we don’t get it, Manchester will fill in and try to get a grant as well?

Mr. Mansfield

This particular project there is an even grant that we are both contributing to, $300,000.00 from Manchester
and $300,000.00 from Nashua through the grant process.

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Utility Appraisals (Value: Not-To-Exceed $50,000)

Communication Amended and Contract Awarded under Suspension of Rules at the beginning of the
meeting.

Mayor Donchess

So on the original agenda was a $50,000.00 figure for utilities. That was no longer necessary because we
approved the $70,000.

From: Dan Kooken, Purchasing Manager
Re: Flatley Appraisals (Value: Not-To-Exceed $16,000)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
PROPERTY VALUATION ADVISORS IN AN AMOUNT NOT-TO-EXCEED $16,000. FUNDS ARE
AVAILABLE IN DEPARTMENT 132, ASSESSING; GENERAL FUND —- OVERLAY

ON THE QUESTION

Alderwoman Kelly

I’d love just a little bit of background, | also was digging through those 400 pages.

Jon Duhamel, Chief Assessor

We have two appraisal assignments going on right now. The first one was for utility properties for the
$70,000.00. This one is for some commercial properties owned by John Flatley that are under appeal with the
City or at the State level. We are just hiring an independent appraiser to go out and appraise those properties
for defense purposes.

Finance Committee - 6/6/2018 Page 7

Alderwoman Kelly

Okay, thank you.
MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Unleaded Fuel Contract (Value Estimated $421,434)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
DENNIS K. BURKE, INC., IN AN ESTIMATED AMOUNT OF $421,434. SOURCE OF FUNDING IS
DEPARTMENT 186, TRANSPORTATION; VARIOUS DEPARTMENT’S GENERAL FUNDS

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: 2018 Sewer Replacement — Kinsley Street (Value: $1,139,300)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND, CONTINGENT UPON BOARD
OF ALDERMEN APPROVAL, AWARD THE CONTRACT TO NEWPORT CONSTRUCTION CORPORATION
IN THE AMOUNT OF $1,139,300. FUNDS ARE AVAILABLE IN DEPARTMENT 169, WASTEWATER

ON THE QUESTION
Alderman Laws

| was just wondering generally when this Kinsley Street project should be, it is one of the streets that | get
questions about most often.

Mr. Dookran

Yes Kinsley Street is an all-paving program scheduled to be paved this year. However, there is all this work to
be done, as you might have seen there is natural gas work, Liberty Utilities is out there and they have done
quite a bit of work. They still have a lot left. The next step is for us to get the sewer work done and our hope is
to get it all done prior to getting the street paved this year. If this runs over then it will have to be next year but
we are shooting for completing the paving this year.

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: 2018 Asphalt Testing (Value: $43,875)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
S.W. COLE ENGINEERING, INC., IN THE AMOUNT OF $43,875. SOURCE OF FUNDING IS
DEPARTMENT 161, STREET; GENERAL AND TRUST FUNDS

ON THE QUESTION

Mayor Donchess

Since | think there is quite a bit of interest in our paving program, maybe Mr. Dookran you could give an
explanation of what this testing is.

Finance Committee - 6/6/2018 Page 8
Mr. Dookran

We have started within the last couple of years testing for quality control, making sure that the contractor is
delivering asphalt and installing the asphalt per the contract specification making sure they meet our standards
for compaction for the amount of liquid asphalt is in there so that the pavement will last the life we expect of it.
We have stepped up the program this year simply because we have a lot more than we have been doing in
previous years. We are going to be doing some limited amount of testing at the plant itself and the idea behind
that, even though we get the contents of the mix are delivered to us, we want to make sure that the plant is not
arbitrarily giving us something that we don’t expect. So some additional testing is being done at the plant. So
it’s all about quality control to make sure we get the right product.

Alderman Klee

Thank you for taking my question. When you say testing, are you just testing the material itself, do you test it
once it is down on the ground or just prior to it being put in?

Mr. Dookran

So at the plant, you are visiting the plant and you are making sure that the person operating the batching
equipment is doing the right thing, putting the right mixtures. When it has been laid we test what has been laid,
certain elements. And when it is done, we come back and we take sample cores and it is sent to the lab and
they do testing, they do compaction testing and they check if there is any further questions, we check for the
amount of liquid that was in the sample.

Alderman Klee

| appreciate you doing that. | was getting a lot of complaints that some of the roads that we had put down
came up a little too soon so thank you very much.

Mr. Dookran

So that the question is out there and Alderman Caron is pretty well aware of this, the part of Main Street from
Aldds Street south towards East Dunstable Road, that has failed the test. We are working with the contractor
to replace that pavement. So you will see that happening. That is what we are doing.

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Pavement Management Services for 2018 Paving Program (Value: $328,675)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
HAYNER/SWANSON, INC., IN THE AMOUNT OF $328,675. FUNDS ARE AVAILABLE IN DEPARTMENT
160, ADMINISTRATION/ENGINEERING; PAVING BOND

Mayor Donchess

Mr. Dookran would you give us an explanation on this please?
Mr. Dookran

Yes I'll give a brief explanation. So as | said earlier our program has become very extensive starting this year
and the program comprises of a contract that you must have seen $6.7 million dollar contract was for Newport
Construction they happen to be a Nashua firm if you didn’t know that. This is the first time they are doing this
work for us. We also have left over from last year to the tune of $1.1 million dollars from the Contract. Both of
these contracts are where we started. We are doing some neighborhood streets and then we have coming up

Finance Committee - 6/6/2018 Page 9

$4.4 million dollar of federal highway dollars left over from the Broad Street Parkway that we want to use to
pave several arterials, Amherst Street, Broad Street, Somerset Parkway and if there is still money some of that
will go towards Kinsley Street.

So the program is very large, much larger than we’ve ever done before and we need the services of consultant
Hayner/Swanson a local firm has been helping us with this program and this is another contact we want so
they can help us with the management of the program and to make decisions, engineering decisions, as well
as providing personnel that we don’t have on our staff to do construction observation. So that is essentially
what this contract is about. It is very extensive and beyond that we do have other programs related, like crack
sealing as well as micro surfacing which is a thin application to give you 5 to 7 years. If a street is not too far
gone we can get another few years out of the pavement as well as managing how we go out and evaluate the
streets. Every year we have a firm that goes out and looks at portions of the streets and comes back with
information regarding the quality of the pavement and how we should program funding in the future. So streets
aren't picked in any arbitrary fashion, it’s very sophisticated the way the streets are selected. So
Hayner/Swanson, under this contract, will help us with managing and selecting those streets.

Alderman Caron

It is just a comment. | think this is a great resource of funding to help engineering because there is so much
going on and if we have all these problems with our streets, Hayner/Swanson is a good firm to be dealing with
that for the engineering department. So | totally agree with this contract.

MOTION CARRIED

Mayor Donchess

So the next item we have already approved, it was both in our suspension pile and on the agenda but this is
the $35,000.00 for Marshall Street, which we already did so we will go on to the next communication.

From: Dan Kooken, Purchasing Manager
Re: Central Irrigation Purchase (Value: $26,220)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
SMART WATER MANAGEMENT, LLC, IN THE AMOUNT OF $26,220. SOURCE OF FUNDING IS
DEPARTMENT 177, PARKS & RECREATION; GENERAL FUND

ON THE QUESTION

Mayor Donchess

| believe Mr. Caggiano is here on this if you have questions. Are there any questions or discussion? If you
don’t know Mr. Nick Caggiano is the head of Parks & Rec. | don’t know if you’ve met before.

Nick Caggiano, Superintendent Parks & Recreation
Nick Caggiano, Parks & Rec Superintendent.
MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Single Stream Recycling (Value: Not-To-Exceed $400,000)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO
CASELLA RECYCLING, LLC, IN AN AMOUNT NOT-TO-EXCEED $400,000. FUNDS ARE AVAILABLE IN
DEPARTMENT 168, SOLID WASTE

Finance Committee - 6/6/2018 Page 10

ON THE QUESTION

Mayor Donchess

Now we have discussed this before but since this an item that we really didn’t have to deal with until recently,
maybe Mr. Lafleur you could please give us a brief explanation of this new expenditure.

Jeff Lafleur, Superintendent of Solid Waste

Superintendent Jeff Lafleur of the Solid Waste Department. Our Solid Waste Recycling markets have
dropped. China has completely dropped out of the market, you have probably all seen it in the papers and
everything. So recycling is starting to cost us more money than we ever thought would happen. As of last
year, we were actually making money, it was a revenue making endeavor for the City. With China dropping
out and markets going bananas right now we have a cost associated with us to ship out our recycling. Last
month’s recycling costs were at $63.60 a ton; we ship out 5,000 tons a year.

| secured this vendor, right now they are our current vendor, they decided to stay along with us. We went out
to bid, they gave me a ceiling price of no more than $150.00 a ton which is outrageous, it is a lot of money for
recycling. Recycling is the right thing to do, | believe it is the right thing to do, it saves us air space in the
landfill. We budgeted for $400.000.00 this year. | am hoping that is going to cover it, if it doesn’t cover it, then
| have come back to you guys and we have to make a decision because at that point where do we bend and
where do we break? There are communities all over the United States right now that are stopping recycling. |
don’t think we are that point yet, | don’t believe we should be at that point yet but again if we expend the
$400,000.00 then we have some tough decisions to make.

Alderman O’Brien

Yes, thank you Mr. Mayor. | am disappointed with the world events that caused us into this and | do believe in
recycling as well. But! would like, if you could just share to us, because by doing and continuing with this
program that you suggest that we are going to hopefully improve here, we are getting a little bit of a benefit
even though it is costing us some money, we are elongating our term with the landfill. If we put the recyclables
in the current landfill and save the dollar there we just shorten the life and then we are in a little bit more
difficult of a financial situation.

Mr. Lafleur

Absolutely, we did a rough calculation and over 15 years of air space, we would lose one year of airspace
putting the recycling in there, so we would be losing a month a year pretty much by putting the 5,000 tons in
there. And that is if we can get the right compaction and everything depending on the materials that come in.
If it is all cardboard of course you don’t get as much compaction. But your assessment is correct.

Mayor Donchess

Now if we get Phase IV permitting which | know we are working on but it is not going to happen any time soon,
if we get the Phase IV permitting, what do you project the life of the landfill would be at that point?

Mr. Lafleur

We just had a meeting with our consultant Sandborn-Head and they came up with some really great ideas and
they are actually giving a consideration to going over the top of the old closed MSW landfill, so we could have

depending on where we get approved, we could get 30 to 40, maybe even 50 more years of life with Phase IV
but that’s a big area to cover. So that’s what we are looking at, depending on DES if they are going to give us
the approvals and everything, we are fighting hard for everything we can get.

Finance Committee - 6/6/2018 Page 11
Alderman Laws

We are recycling glass, cardboard and plastic correct? Or glass, paper, plastic? Is it possible that we eliminate
one of those and put it in the landfill and ask our citizens to only recycle the other two? That way we save
more money on weight?

Mr. Lafleur

Absolutely. And that is one of the things that we are talking about, Director Fauteux she is having some
meetings right now. She is going to talk it over with the Mayor and we are just trying to figure out when the
right time is to pull the trigger on that. If the markets ever turned around, where we may make money again
which isn’t in the foreseeable future, we may want the glass in there for the weight. The markets are kind of
funky that way. Right now we don’t want the glass in there and again that will be a meeting that we will have a
discussion with the Mayor and then we will start working on communications out to the public to eliminate that.

Alderwoman Kelly

Thank you. My question was actually his but then you talked to it, so | wanted to know if that is the first step
that you are thinking from a contingency standpoint, is removing the glass, or do you have other....?

Mr. Lafleur
That is our heaviest part of the recycling right now is the glass and as was stated in some of the articles and

communications through the news, the glass is actually getting land-filled right now. So it would be the best
thing for us to do right away.

Alderwoman Kelly

So that would be step one?
Mr. Lafleur

Yes. Yes.

Alderwoman Kelly

Thank you.

MOTION CARRIED

From: Dan Kooken, Purchasing Manager
Re: Electronic Recycling (Value: Not-To-Exceed $75,000)

MOTION BY ALDERWOMAN KELLY TO ACCEPT, PLACE ON FILE AND, CONTINGENT UPON BOARD
OF ALDERMEN APPROVAL, AWARD THE CONTRACT TO UNIVERSAL RECYCLING TECHNOLOGIES,
LLC, AT AN ANNUAL COST NOT TO EXCEED $75,000. SOURCE OF FUNDING IS DEPARTMENT 168,
SOLID WASTE

ON THE QUESTION
Mr. Lafleur
This contract will be with our current vendor, URT, they came back with a bid that was very favorable. We did

some calculations on the numbers of materials that came in last year, computers, flat screen TV’s and other
electrical components and if everything were to stay the same, we’d actually make out just a little bit better

Finance Committee - 6/6/2018 Page 12

than we did last year as far as spending. If we separate out our computer towers and put those all in one box
which my guys at the landfill do, we get credit towards other electronics.

We have actually seen some of our electronics finally on the downward curve because when electronics
recycling first started, there were a lot of those cathode ray tube TV’s the big ones, the big consoles, we saw
an influx of those come in. Now it is the flat screen TV’s where they are not as expendable, they are actually
lasting a lot longer than we thought they would.

So we are actually seeing a downward trend. If everyone’s TV’s are about ready to go we can see an uptick in
that but again we are right now the vendor that we secured has given us the best price and | think that’s the
way to go.

Alderman Klee

Thank you for taking my question. | Know this kind of sounds a little silly but | just recently took a tour of Makelt
Labs and one of the things that they had said was they take in different types of things like electronics and so
on if people want to donate it to them, | don’t know if any of the stuff that you get is worth them looking at it to
kind of see if it is anything they can use. They use different pieces and putting together, | didn’t know, in other
words, it could have another useful life.

Mr. Lafleur

| would encourage the residents to bring it to them. The logistics of it for us the recycling vendor that is actually
coming and taking it would probably want anything that is useable, so they can make a profit on their end. But
if residents would like to bring their stuff to them, they are more than welcome.

Mayor Donchess

The Board of Public Works is looking at the issue of charging residents for these electronic items at some price
per piece. Right now it is free for the first two. Most towns charge $10.00, $15.00, $20.00 per item and we are
spending $75,000.00 here and have a lot of pressure on the landfill. | think in the end there will be a vote to
charge some amount. I’m not sure what that will be.

Alderman Harriott-Gathright

When do you expect that to happen? | have something | need to get rid of.

Mayor Donchess

Well go to Makelt Labs. Take it to Makelt Labs. | would get down there this weekend because you just don’t
know.

Alderman Harriott-Gathright

| have two huge cathode ray tubes one has been sitting in the van and the other has been sitting in my family
room.

Mayor Donchess

You better get down there. Maybe |’ll call up the other commissioners and say “hey we got this customer who
is going to bring in these items, let’s get this thing passed”. Alright, any other discussion?