HomeMy WebLinkAbout1996-01-17 Water and Sewer Advisory Committee MinutesWATER & SEWER ADVISORY COMMITTEE MINUTES
January 17, 1996
A meeting of the Water & Sewer Advisory Committee was held at 7:47 P.M. on Wednesday,
January 17, 1996 in the Berger Room, Reading Town Hall, 16 Lowell St., Reading, MA.
In attendance were Chairman Gail Wood, Secretary Stewart Chipman, Committee Member
Richard Moore, Public Works Director Ted McIntire and Public Works Supervisor of Business
Services, David Lee.
Approval of Minutes
It was moved by Richard Moore, seconded by Stewart Chipman and voted 3-0 to approve the
minutes of November 15, 1995 as revised. The revision being substituting the words. "the
Committee" instead of the words "Richard Moore" under the heading of Enterprise Funds and
Bonding.
It was moved by Stewart Chipman, seconded by Richard Moore, and voted 3-0 to accept the
minutes of December 20, 1995 as written.
FY97 Water Rates
David Lee reviewed the rate information and calculations which he had prepared for the
Committee. The proposed rate for water in FY1997 is $2.55 per 100 cubic feet. The estimated
FY97 usage was estimated to be 10% higher than the FY96 estimate. The Department
recommends transfering $147,168. from the Emergency/Reserve Fund and maintain a balance of
$200,000 in FY97.
Gail Wood inquired about the status of invoice #3, which the Town had submitted to Cumberland
Farms/Gulf. The Town has not received payment of this invoice and the matter has been referred
to Town Counsel, Ted Cohen.
The Committee voiced it's concern regarding the potential substantial cost to dispose of the
stockpiled residuals, located adjacent to the compost area off Strout Ave. The Town has hired a
Consulting Engineer, Malcolm Pirnie Inc., who is preparing information to be submitted to the
Department of Environmental Protection on behalf of the Town,to pursue a Type I classification
for this material. A Type I classification will allow the material to be land applied. It is expected
that this process and decision by DEP will take approximately 8 weeks.
The Committee discussed the . level of funding that needs to be maintained in the
Reserve/Emergency Fund. Stewart Chipman moved to increase the Water Reserve/Emergency
Fund to $300,000. The motion was seconded by Gail Wood. Stewart feels that increasing the
Fund to this level will allow the Town to better stabilize the rates in the near future,in light of the
projected Capital Improvement Plan. Also the Water Division will be operating at a higher degree
of financial risk than it has previously. The motion was approved by a vote of 3-0.
FY97 Sewer Rates
David Lee reviewed the information he had prepared regarding the projected sewer rates for
FY97. A rate of $3.42 per 100 cubic feet was projected for FY97 based on the Board of
Selectmen policy to maintain $200,000 in the Reserve Fund, and projecting the FY97 MWRA
assessment to the Town of Reading being equal to the FY96 actual assessment.
Richard Moore is concerned that by transferring $453,000 out of the Sewer Reserve/Emergency
Fund the rate is dropping too much and could result in a large increase in FY98. The Committee
discussed the option of accelerating the Inflow/Infiltration house to house inspection from two
years to one year. This would increase the proposed FY97 Sewer Rate by $.20 to a total of $3.62
per 100 cubic feet. This program also has the potential of reducing the inflow into the sewer
system and therefore, reducing the MWRA assessment in the future. Richard Moore moved to
increase the Sewer Capital by $112,500 in FY97 by completing the house to house inspections in
one year. The motion was seconded by Stewart Chipman and approved by a vote of 3-0. The
projected rate would then increase to approximately $3.58 per 100 cubic feet in FY97.
Second Water Meters
The Committee reviewed letters, memos, and Board of Selectmen minutes regarding second
waters and identified the pros and cons of allowing second water meters. The factors discussed
were the shifting of costs, the policy not being consistent with the present rate methodology of the
MWRA, the recent policy not uniformly available, increased administrative costs, abuse of meter,
no monitoring , and the fact that outside use of water does not go into the sewer system.
Following an extensive discussion the Committee requested that the Public Works Department
prepare information regarding the MWRA sewer methodolgy presently in effect, the MWRA
previous methodolgy, the recent Town of Reading policy on second water meters and the Town's
sewer rate methodology as it relates to that of the MWRA. Stewart Chipman will send
information to Ted McIntire regarding the Water & Sewer Advisory Committee's previous
presentation to the Board of Selectmen.
Old/New Business
The next meeting of the Water & Sewer Advisory Committee will be Wednesday, February 21,
1996 at which time a Water & Sewer Rate Hearing will be held, and discussions on second water
meters and the Town's Inflow/Infiltration program.
It was moved by Richard Moore, seconded by Stewart Chipman and approved by a vote of 3-0 to
adjourn the meeting at 10:58 P.M.