For awhile last Wednesday, it looked like the school district wasn't going to get any expendable trust money.

It took four failed votes before the board agreed upon taking $2.3 million from the trust funds.

Committee Vice Chairman Dave Gelinas opened the bidding with a motion to move $2 million from the funds for teachers. When the roll call was taken, the expected opponents of spending the trusts on salaries and benefits voted no: Arthur Beaudry, John Avard, Chris Stewart, David Wihby, Roy Shoults and Mayor Ted Gatsas. There were two swing votes: Erika Connors and Debra Gagnon Langton.

“I plan to vote no to the vice chairman's option, quite frankly because I don't believe it's enough,” said Langton. Leaving staffing so low next year would be “a huge safety concern for me and should be a huge safety concern for our community,” she said.

Langton then made a motion to spend $2.8 million from the trusts, which would have left an estimated $1 million left for emergency expenses. Stewart, sitting beside Langton, turned to her and said, “You want to spend more?”

That amount was too rich for not only Connors, but also Committeemen Sarah Ambrogi, Roger Beauchamp and Jason Cooper.

Connors followed up that vote with a motion for $1.4 million, which was supported by Ambrogi and Beauchamp, but no one else.

Cooper followed that motion with a proposal to spend $1.8 million, still too low for some school advocates.

While the rest of the board was debating these under-$2 million proposals, Langton and Committeeman Ted Rokas got up from their seats and had a quick chat off to the side. Afterward, Langton made a motion to use $2.3 million for teachers and principals. This turned out to be the not-too-hot, not-too-cold amount needed to please school advocates but not scare off those wary of relying too much on the trusts.

The $2.3 million was still too much for Connors. She joined the opponents of spending any trust fund money.

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The district's trust funds are at about $8 million right now, but will soon be down to $3.8 million once this year's health expenses are paid. Take another $2.3 million out for teachers, and that leaves $1.5 million for “unforeseen circumstances.” Business Administrator Karen DeFrancis told the board on Wednesday the district's five expendable trusts were created in 2004 to pay for unexpected costs in health care, special education, repairs and maintenance, capital projects and athletics. Surplus in any of these line items at the end of the fiscal year goes into the appropriate trust.

There was some concern that rising health care costs and possible repairs needed to portable classrooms could further drain the trusts. Superintendent of Schools Thomas Brennan said the trusts were reduced to $25,000 two years ago, but then warned “we don't know what the future holds.”

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It was almost a union-concession clean sweep for Mayor Gatsas on the city side, but it looks like holdouts in Water Works and the Police Department will not make a deal before the end of the fiscal year, June 30.

The United Steelworkers Local 8938, which represents Water Works employees, voted Tuesday to reject a tentative agreement reached with the city. The deal was similar to those made with other city unions, requiring workers to pay more toward health insurance premiums, doctor visits and prescription drugs.

Gatsas said talks are at a standstill with the police support staff union, the one other collective bargaining group left to make a concession deal.

It won't be long before Water Works is back at the table, though. Negotiations will need to happen sometime before the Steelworkers' contract expires, June 30, 2013.

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A cynic might have viewed the newly formed Special Committee on Job Creation, Retention and Economic Development as an excuse for aldermen to micro-manage city departments for a few months or to issue a report destined to collect dust on an office shelf. But in the four months since its creation, the committee has done more than pay lip service to the struggles of jump-starting the local economy. It took on permitting requirements, demanding improvements to the city's convoluted process, and last week the committee moved a step closer toward reviving a now-defunct property tax incentive for businesses and building owners who would improve worn-down properties.

Economic Development Director Jay Minkarah was instructed to present a proposal next month for allowing Manchester to use state law RSA 79-E, also known as the Community Revitalization Tax Relief Incentive. Under this program, property owners who make improvements that increase land or building values can get a property tax waiver for a limited time on the amount the property value increased.

Properties that have benefited from this tax break include the Pandora Mills and the building that houses Consuelo's Taqueria. The tax discounts are set to expire this year.

Minkarah said the discounts were nixed by the aldermen more than two years ago because the qualifying amount was so low it would apply to almost the entire downtown. Since then, former state Sen. Betsi DeVries helped pass legislation that gave cities more flexibility to craft their own policy.

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Efforts to bring a new fire station to Hackett Hill are moving quickly. Fire Chief James Burkush said a committee of city officials has selected 16 companies to move onto to the next stage. These companies had to submit their proposals by Wednesday, and the committee will soon begin reviewing them. Burkush said he expects a selection will be brought before the aldermen at their July 17 meeting. He hopes to break ground on the building in August.

Read Beth LaMontagne Hall's coverage of Manchester City Hall in the New Hampshire Union Leader. Email her at bhall@unionleader.com.