Quincy City Council: September 29, 2026

Chair Deborah Riley called the joint meeting of the Finance Committee and Oversight Committee to order at 6:00 PM.

• Roll Call:
  • Present: Councilor Virginia Ryan, Councilor Ziqiang Yuan, Chair Deborah Riley.
• Chair Riley read the statutory notice under the Open Meeting Law regarding audio and video recording.
• Chair Riley established expectations for the agenda, stating that discussions would prioritize actionable follow-ups across multiple oversight items.

The committee reviewed the statutory compliance and spending history of the Public Works Enhancement Fund, established under Chapter 92 of the Acts of 2004, which directs designated revenue from the Quarry Hills development lease to public works.

• Financial Status of the Fund:

  • Cumulative collections since Fiscal Year 2006: $5,363,695.78.
  • Total expenditures to date: $3,921,000.
  • Current encumbrances: $96,000.
  • Unencumbered cash balance: $1,179,984.

• Statutory Compliance and Expenditure Discrepancies:

  • Chair Riley read the statutory limitation into the record: "The Commissioner of Public Works under the direction of the Mayor shall use the funds for the sole purpose of designing, repairing, maintaining and constructing the streets and sidewalks of the City of Quincy and for the acquisition of any capital equipment necessary to accomplish that purpose."
  • Multiple councilors noted non-compliant expenditures, including power equipment purchases from Stewart's Power in 2022 that bypassed council appropriation, decorative benches, middle school signage ($9,999), landscaping, holiday lights, and Cleaner Greener promotional t-shirts.
  • Councilor Anne Mahoney observed that diverting over $5 million away from direct road and sidewalk work caused the city to float additional debt within a $100 million bond authorization, incurring unnecessary interest.

• Administration Defense:

  • Mayoral Representative Christopher Walker stated the administration takes an "expansive" view of allowable public works projects under the fund, pointing to major investments such as the Ricciuti Drive signalization project with the state and extensive renovations to Pageant Field (ball fields, walking paths, picnic grounds).
  • Walker confirmed the administration withdrew a plan to fund paving for the Nickerson Post parking lot using this account following council objections.

• Deficit in Oversight Account and Personnel Charges:

  • Councilor Yuan questioned why a project manager's salary of $120,199.97 was charged against the 10% Quarry Hills oversight account, placing that specific account into an ongoing deficit of approximately $181,000.
  • The City Auditor clarified that personal service line items are funded legally even when negative, with quarterly revenues offsetting balances; Walker stated the employee managed logistics for public school building projects.

• Pavement Management Plan and Reporting Commitments:

  • Public Works Commissioner Ed Grennan reported that the DPW is completing an updated Pavement Management Plan using vehicle-mounted cameras and automated pavement condition surveys.
  • Councilor Ryan cited Chapter 92, Section 1(b), requiring an annual capital expenditure report and forecast by March 1, along with explicit council approval for capital equipment purchases.
  • The administration agreed to deliver the required report and projects list by March 1.

The committee held an extensive hearing regarding the city's oversight of lease payments from Quarry Hills Associates LP (operators of Granite Links Golf Club) under the 2002 restated lease agreement.

• Lease Structure and Payment Terms:

  • Under the operative 2002 lease, the city receives 10% of gross revenue from golf course and driving range operations, and 10% of net revenue from functions, the tavern, members lounge, and Crossing Nines hospitality facilities.
  • The most recent second-quarter 2026 payment to the city totaled $314,820.40 against more than $11.8 million in total reported revenues.

• Deductions and Exclusions Examined:

  • Golf Cart Fees: Chair Riley noted that Amendment 5 to the lease eliminated golf cart rentals from the gross calculation. For Q2 2026, golf cart rentals yielded $364,000 in gross receipts against $71,000 in maintenance expenses—leaving $293,000 in quarterly net profits from which the city received no percentage.
  • Administrative Deductions: For Q2 2026, deductions included an identical charge of $542,456.90 taken out of function revenues and food/beverage revenues respectively, totaling over $1.08 million in quarterly administrative overhead alongside an additional $80,138 in golf administration.
  • Discounts, Comps, and Depreciation: Councilor Maggie McKee emphasized that across FY 2026, administrative deductions totaled $5.8 million, depreciation amounted to $3.7 million, and manager/employee promotional comps totaled over $1 million.
  • Ball Field Maintenance: Chair Riley noted that out of millions in hospitality revenue, only $3,753 was allocated toward public ball field maintenance in spring 2026.

• Dispute Over Definition of "Audit":

  • Christopher Walker asserted that reviews conducted by Powers & Sullivan, LGA LLP, and the Innovation Group verified lease compliance, arguing that standard hospitality industry accounting practices were followed.
  • Chair Riley clarified that 171 pages of documentation provided to the council consist of financial statement "reviews" and "fairness analyses," all containing explicit disclaimers stating they do not constitute formal audits.
  • Councilors pointed out that the formal Quarry Hills Lease Oversight Committee mandated by the lease has been abandoned and defunct for years.

• Mayor's Charity Golf Tournament Proceeds:

  • Chair Riley questioned why proceeds from the annual charity golf tournament allowed under Section 24.1 of the lease—processed through the city's municipal finance department until 2017—were redirected without council authorization.
  • Walker confirmed that Mayor Koch redirected the tournament funds directly to the Quincy Foundation (Christmas Festival Committee), a 501(c)(4) non-profit organization that finances community events.

The committee examined the expenditure and reporting status of federal and county pandemic recovery grants received by the City of Quincy.

• Funding Totals:

  • Total relief funding received: $64,191,199 (comprising federal allocations and $18,799,199 in Norfolk County grants).
  • All available ARPA funding has been encumbered or expended, with approximately $1 million in final county allocations pending final receipt.

• Expenditure Categories and Scrutiny:

  • Monroe Building Acquisition: Councilor Yuan and Councilor Mahoney questioned the eligibility of using $15,000,000 in ARPA funds to purchase the commercial Monroe Building on Hancock Street. Walker defended the purchase under the economic stimulus guidelines of ARPA, noting it was submitted through the federal reporting portal.
  • Real Estate Acquisitions: Councilor Mahoney requested documentation regarding the ARPA eligibility of acquiring 37 Center Street ($385,548 purchase price plus $98,885 mortgage payoff, followed by structure demolition) and the Southern Artery marina properties ($662–664 Southern Artery).
  • Monuments, Parks, and Beautification: Councilors questioned large expenditures for decorative and non-emergency projects during the pandemic, including:
    • Mount Wollaston Cemetery entry gate and veterans memorial renovations: $5,000,000.
    • Lone Sailor Park statue in Marina Bay: $1,500,000.
    • John Quincy Adams Park and Monument: $1,200,000.
    • Adams Presidential Library planning: $305,000.
  • Contracted Professional Services: Councilor McKee noted $52,150 in ARPA funds (and $132,866 in total city payments) went to an entity whose corporate charter was involuntarily dissolved by the Secretary of the Commonwealth in 2012, for financial and bond transparency reports that the administration failed to produce upon public records requests.
  • Walker defended the administration's choices, stating municipal investments in veteran memorials, parks, and downtown streetscapes enhanced citywide quality of life and business recovery.

The committee reviewed the circumstances, internal controls, and procurement practices surrounding the felony embezzlement carried out by former Council on Aging (COA) Director Thomas Clasby.

• Case Overview:

  • Former COA Director Thomas Clasby pleaded guilty in federal court to embezzling municipal funds and stealing cash donations and program fees from senior citizens.
  • Fraudulent purchase orders included payments for residential home cleaning, personal car towing, lawn mower acquisitions, private studio music workshops, and $38,134 paid to Celtic Safety Consultants, a sham entity registered to a residential apartment at 5700 Arlington Avenue in the Bronx, New York.

• Discussion of Purchasing Controls and Red Flags:

  • Councilor McKee and Councilor Mahoney questioned why accounts payable systems did not flag five consecutive payments to an out-of-state residential address for senior center classes that were never scheduled or held.
  • City Solicitor James Timmons stated that Clasby executed patent criminal fraud that bypassed routine systems by submitting departmental purchase orders. Timmons emphasized that once an employee blew the whistle directly to Mayor Koch, the administration engaged the Quincy Police Department and the FBI immediately within 24 hours, leading to Clasby's federal prosecution and prison sentence.
  • Councilors queried whether the city has adopted a formal third-party whistleblower fraud reporting hotline, as publicly proposed by municipal finance officials in 2025.

• Restitution Allocation:

  • Solicitor Timmons reported that $136,061.71 in restitution is being recovered through deductions from Clasby's accumulated municipal pension funds.
  • Councilor David Jacobs announced that he and council colleagues will sponsor a formal resolution to restrict the entire $136,061.71 restitution payment directly to the Council on Aging budget to benefit senior programs rather than depositing it into the municipal General Fund.

Councilor Jacobs moved to adjourn the meeting, seconded by Councilor Noel DiBona.

• The motion carried by voice vote, and the meeting was adjourned.