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HomeMy WebLinkAbout1999-03-03 Water and Sewer Advisory Committee MinutesWATER & SEWER ADVISORY COMMITTEE MINUTES March 3, 1999 A meeting of the Water & Sewer Advisory Committee was held at 7:50PM on Wednesday, March 3, 1999 in the Employee Lounge, Reading Town Hall, 16 Lowell St., Reading, Ma. In attendance were Chairman Gail Wood, Secretary Stewart Chipman, DPW Business Supervisor Dave Lee, and DPW Director Ted McIntire. t Meeting Minutes It was moved by Stewart Chipman, seconded by Gail Wood and approved by a vote or- 0 to approve the minutes of February 17, 1999 as amended. FY00 Water/Sewer Budgets The Committee reviewed the FY00 Water and Sewer Budgets as recommended by the Town Manager. A question arose as to whether the proposed meter reading system is bondable, and if so how much would be bonded. This would be purchase of technology and the staff feels that it is bondable. The Committee discussed the benefits of the new reading system, which would include monthly billing, bills that reflect recent use, more efficient use of manpower, and ability to address maintenance and upkeep of the distribution system. Stewart recommended that notices be included in the water and sewer bill regarding the installation of a radio system with the resultant benefits. It was noted that there was no change by the Town Manager from the proposed Department requests for either water or sewer in FY00. In the area of capital there were no changes in sewer. The following changes in Water Capital were noted: remove $193,200.00 for filters at the Water Treatment Plant, remove $20,000.00 for Treatment Plant roof repairs, $30,000.00 for well building roof repairs is being phased $15,000.00 in FY00 and $15,000.00 in FY01, and the computer system upgrade was reduced from $8,000.00 to $6,000.00. Ted noted that the review of the Capital Improvement Plan does not allow feedback from departments as is the case in the operating budgets. The sewer operating budget increases from FY99 to FY00 by 10.7%. This is due to union contract requirements, MWRA assessment, Household Hazardous Waste Collection, and Funding of the Walkers Brook Drive sewer construction. FY00 Water/Sewer Rates The Committee reviewed the rate package developed by Dave Lee. The proposed sewer rate is $5.37 per one hundred cubic feet, an increase of 7.2%. The proposed water rate is $3.41 per one hundred cubic feet, and increase of 0.6%. The total proposed increase of water and sewer over FY99 is 4.9%. The estimated consumption used in developing the Stabilization Fund The Committee noted that now is the time to establish a stabilization fund in water, as there is an balance of $566,000.00. The Committee also felt that this would have been an opportune time to use money from a sewer stabilization fund, if it had been established. The existing balance in the sewer reserve is $173,000.00, which is below the Selectmen's guideline of $200,000.00. It was moved by Gail Wood to transfer $300,000.00 from the water reserve fund to a new "General Stabilization Fund" the motion was seconded by Stewart Chipman. This would be used as seed money for this fund. The motion was approved by a vote of 2-0. Ted McIntire noted that if there were no second water meters in the system the sewer rate would be $5.25 per one hundred cubic feet. It was moved by Stewart Chipman, seconded by Gail Wood and approved by a vote of 2- 0 to adjourn the meeting at 9:45PM.