Water Pollution Control Authority
Regular Meeting Minutes
May 4, 2010
The regular meeting of the Water Pollution Control Authority was held on Tuesday, May 4, 2010 at the Wastewater Treatment Plant, 20 Gildersleeve Drive, East Hampton, CT. The members in attendance included:
Mark Barmasse, Chairman Dave Kelsey
John Hanson Elizabeth Mackie
Dag Lindland and Roger Abraham were not in attendance. Also in attendance were Vincent F. Susco, Jr., Public Utilities Administrator and Pam McCann served as recording secretary.
Call to Order
Chairman Barmasse called the meeting to order at 5:30 P.M.
Approval of Minutes
Chairman Barmasse tabled action on the March 2, 2010 minutes until a quorum of the members attending the meeting could be present.
Chairman Barmasse called for the approval of the minutes of the April 6, 2010 Public Hearing.~Mr. Hanson, motioned, seconded by Mr. Kelsey, to approve the minutes as submitted. The minutes were approved by a 4-0 vote.
Chairman Barmasse called for the approval of the minutes of the April 6, 2010 regularly scheduled meeting.~ Mr. Hanson, motioned, seconded by Mr. Kelsey, to approve the minutes as submitted. The minutes were approved by a 4-0 vote.
Public Remarks
There was no public in attendance.
Review of Correspondence
Mr. Susco reported all items listed would be discussed during the course of the meeting except for item #10; Michael Olzacki, 4 Flanders Road. Mr. Susco explained we have recently completed the final accounting of the force main project and we have provided the information to the property owner.
Board of Finance Liaison
No liaison was present.
Committee Reports
Joint Facilities Report of Operations
Chairman Barmasse reported on the Regular Meeting of the Joint Facilties Committee held on April 20, 2010.
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Due to the heavy rains of March 30 and 31, 2010 the plant was out of compliance for a 24 hour period on the last day of the month. Mr. Barmasse explained East Hampton received over 5” of rain in the 36 hour period but that was only half of the story as to the east, Colchester, Hebron and Marlborough received over 2.5 times that amount of rain. Flow greater than twice the plant’s capacity occurred for the four-day period ending Thursday, April 1.
The Joint Facilties placed and manned additional pumps at several key lift pump stations and in East Hampton several septic hauling companies were called upon. The Prospect Hill Lift Station in Colchester ran continuously for a four day period. Although the plant was out of compliance for “solids” for the 24 hour period no bypasses occurred in any town over the entire event.
Mr. Barmasse indicated no new variances have occurred during the fiscal period and that all line items remain within parameters. He indicated however, that the final financial impact of the heavy rain storm was not captured in this month’s report.
Management presented and the members unanimously approved several routine disbursements, transfers and appropriations in preparation for the end of the fiscal year, which are made part of these minutes.
Mr. Barmasse reported the results of the bidding for the HVAC Improvements. He indicated of the twelve (12) solicited bidders, four (4) bids for the project were received;
Management’s review of bid proposals indicated no bidder had met all the conditions of the Invitation to Bid. After review of all factors, terms and conditions, including cost, the members discussed all materials submitted and came to the same conclusion. The Committee rejected all bids and requested management to proceed with the improvements to the HVAC system with the assistance of Northeast Utilities and/or the utilization of a HVAC engineer of management’s choice.
Mr. Barmasse indicated agreement has been reached with Associated Security Corporation of East Hartford, CT to monitor all remote stations in all four (4) towns for a $1,500.00 annual fee. A final agreement will be presented at the next regular scheduled meeting.
Work continues on the initial set up and several process modifications proposed by Mr. Grant Weaver, The Water Plant Inc., to improve nitrogen removal at the wastewater plant. As part of their work The Water Planet has identified a funding source for installing nitrogen analyzers in the wastewater treatment facility. Mr. Susco has drafted a $48,452.30 grant request which has been forwarded to the DEP.
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Operations, Management & Budget Committee
Mr. Susco presented the WPCA operating budget status report. He reported the cost of the heavy rain events were captured in labor line item #5110 and line item #5430 Bldg Equip Maint\Repair to account for the additional septage haulers’ bills. He explained these costs in excess of $25,000.00 were required to be captured on a cash basis at this time and had a significant impact on the current budget and the proposed 10/11 budgeting process.
Mr. Susco reported on the Federal Government’s FEMA Disaster Declaration for the lower counties of Connecticut. He explained there is an opportunity for the Joint Facilties to file a claim and possible recoup the expenses associated with the recent rain events. He recently attended the Applicant’s Briefing in Old Saybrook and upon submission and acceptance of the “Participation Forms” preliminary forms a meeting will be schedule with a FEMA representative.
Mr. Susco reported on the financial status of the Town Center Water System. He reported expenses will remain under budget however, revenues continue to lag behind expectations due to the lack of consumption and customers.
The financial status of the Royal Oaks Water System was discussed in light of the major upgrade required as a result of the failure of Well #3. Mr. Susco explained all expenses for this project are being captured in account #5430 Bldg Equip Maint\Repair.
Mr. Susco recapped how the budget for the WPCA operation of the Town’s Community Water systems is integrated into the Town’s General Budget. He explained the Town’s General budget, which is being voted on today, includes a line item called Village Water System in the amount of $60,000.00. This line item is utilized to offset any deficit that might occur in the operations of the of the two community water systems. Mr. Susco has recommended to the Finance Director that for more clarity this line item should be entitled Community Water Systems in the future.
Mr. Susco responded to several questions regarding the proposed surcharge for the customers of Royal Oaks. He explained this revenue will offset the modifications and not the operations.
Management presented the 2010/2011 Operating Budget for the Water Pollution Control Authority. No comments from the members have been received since it was presented at the last meeting and management has found no reason to change any of the line items budgeted. The financial impact of the recent rain events were explained and have been factored into the “Anticipated Fund Balance as of 6/30/10” sheet on line item #5430. The cost of this event, over $55,000.00 to the Joint Facilties, has been projected to be in excess of $25,000.00 for the WPCA. This has resulted in a significant increase in this year’s expense. Mr. Susco explained the Joint Facilties Application for aid under the FEMA declaration will include these costs however, on a moving forward cash basis we
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must account for these expenses now. There being no further discussion the following resolution moved by Mr. Kelsey, seconded by Ms. Mackie was unanimously approved:
RESOLUTION: That the 2010/11 East Hampton Water Pollution Control Authority Operating Budget, as presented by management and made part of these minutes, is hereby approved.
Upon approval of the expense budget management presented an estimated revenue budget. Mr. Susco explained that a 3.5% or $10.00/EDU increase will be necessary in the user fees. He explained at this time this is not a full recommendation but rather a projection in order to present a balanced budget. Upon the close of the fiscal year and the Finance Department audit a final recommendation will be made at the September meeting.
Mr. Susco reported on the recent inquiries of residents on Barton Hill that are served by the force main. He presented his report and follow up letter to the property owners which had been forwarded to the Town Manager and are made part of these minutes.
Mr. Susco presented the proposed 2010/11 operating budget for the two (2) public water systems operated by the WPCA. He explained no action was required this evening as this budget will be acted upon at the WPCA meeting on June 1, 2010 but is being presented to tonight for discussion purposes. As with past budgets it was developed based upon current operating conditions and known operational changes necessary to operate the systems as efficiently as possible. The recommended budget for both systems totals $110,624.00 and represents an increase of 14.90% or $16,480.00 over last year with the majority of this increase being associated with the operation of the ROWS.
Management anticipates presenting the recommended budget to the Town Council for adoption at either the June 8 or the June 22, 2010 meeting of the Council.
The TCWS continues to perform above expectations operationally, however, financially we continue to lag behind revenue projections due to the increasing number of vacant buildings in the Village Center. Letters have been mailed to prospective new customers within the service area which might help in the near term. We continue to be within the parameters of the expense budget and except for an accounting oversight in line item #5120 P/T Seasonal P/R the budget remains basically the same for this fiscal year.
This is the fifth year of operation for the ROWS. At the present time we serve 78 customers. Although the integration of the Memorial School Water System with the ROWS has made both systems more reliable this alone could not make up for the failure of Well #3. This failure required major influx of monies from the Town and has reshaped the budget for this system for future years.
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Management has proposed a $14,766.00 (32.8%) increase in the operation budget of the ROWS. This budget reflects known operation adjustments and maintenance procedures that have or will become routine with the full build out of the system and the modifications to the treatment plant. The majority of this increase is captured in two accounts; # 5430 Building and Equipment M & R and #5330 Prof/Tech Services.
Management presented a recommended water rate structure to fund the operations budget. A review of the water rate structure of our pier group containing 6 water utilities (4 municipal and 2 private) was conducted. Last year the water rates established by the Town Council on June 23, 2009 brought the Town’s water systems into line with the average of the four surrounding towns (Colchester, Portland, Middletown and MDC/Glastonbury). The Town’s current monthly water rates are $9.25/EMU and $4.00/1000 gallons. In order to keep the Town’s two systems in line with the municipal (the four surrounding towns) the following rates are necessary:
Commodity $: $4.05/1000 gallons 1.25% increase
Mnthly Meter $: $9.75/EMU 5.41% increase
Should the direction of the Town Council be changed and there is a desire to adjust the rate structure more in line with Aquarion and Connecticut Water (the two privately owned and operated systems in the Town) the following rates are necessary:
Commodity $: $5.11/1000 gallons 27.75% increase
Mnthly Meter $: $12.00/EMU 29.73% increase
Finally, should the direction of the Town Council desire to have water rates fully support the Town’s water systems the following rates are necessary:
Commodity $: $5.75/1000 gallons 43.75% increase
Mnthly Meter $: $13.00/EMU 40.54% increase
Following the desire of previous Town Councils’ i.e. to have the users offset a greater portion of the operational expenses; management believes it is appropriate to take the next step and to adjust the water rates towards the rates of the privately owned and operated systems in the town. This recommendation is clearer when we consider that the Town simply cannot compete with the municipal rate structure due to our limited size and operational expenses. To recommend a fully supported rate structure seems inappropriate as these water systems do truly serve and benefit the Town by serving two of the Town’s schools. The recommendation also takes into consideration the additional $10.00 surcharge that will be added to the bills of the ROWS customers.
If the rates are adjusted to be more in line with the privately run companies the average yearly bill will be $511.92 or a monthly bill of $42.66. A review of the 20 Class “A”
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water companies prepared by the DPUC indicates these recommended rates will place the Town in the upper 35th percentile (8th). Management responded to questions and further action was tabled until the next meeting of the WPCA at which time formal action will be taken.
Public Water System
Town Center Water System Operations
Mr. Susco reported the water system continues to perform within its’ design limits. Letters were mailed out to 4 new potential customers based upon the recommendations of the Task Force.
Mr. Susco reported on the recent State Health Department Sanitary Survey conducted at Fire House #1 located on Barton Hill Road. He explained the WPCA is not responsible for the operation of this community water system but that our assistance was requested. Their inspection determined that an inter-connection existed between the property and the property known as 92 Main St. The WPCA confirmed the inter-connection and assisted with the physical separation at both locations.
Royal Oaks Water System Operations
Mr. Susco updated the members on the activities associated with the recent water quality issues experienced at the ROWS. He doesn’t expect any delays in completing the work per the timeline established.
Proposed Public Water Systems
Belltown Water System
Nothing to report.
Hampton Woods Water System
Mr. Susco reported we have received the Developer’s Diversion Permit application. Presently the submission is under review by management and our engineer.
Municipal Water System
Mr. Susco reported the Town’s STAG application continues to be reviewed by the EPA and the State Department of Health.
Work on the relocation of the Septic System on the Barton property continues. All of the Chatham Health District comments have been addressed with the latest version of the Premise plan.~ The date on the plan is~April 21, 2010.~ The WPCA review indicates that in addition to the comments from the CHD dated April 6, 2010~all items previous discussed also have been addressed; these include but are not limited to the 50 ' separation distance from the private well, the 15' separation distance from the house, the water tight test on the new septic tank and a potability test on the private well.
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Mr. Susco reported that once again the Town’s application for funding under the State’s Drinking Water State Revolving Fund (DWSRF) has been ranked #1. The Town is eligible for $3,388,000.00 in low interest loans payable over a twenty (20) year period. A Public Hearing has been set for June 2, 2010 to determine the final priority listing.
Sewer Development
Belltown Wastewater System
Nothing to report.
Hampton Woods Wastewater System
Nothing to report.
Old Business
Sewer Use Charge Audit
Mr. Susco reported on the latest results of the sewer use audit. The program continues to provide valuable sewer use information that will be used in the October 1, 2010 billing cycle.
New Business
Mr. Hanson indicated he will be resigning from the WPCA effective with the end of his term on June 30, 2010 and presented his letter of resignation. The members accepted his resignation with regret and wished him the best in the future.
Adjournment
Mr. Kelsey motioned, seconded by Mrs. Mackie, to adjourn the meeting. All voting in favor, the meeting was closed at 7:20 P.M.
Respectfully submitted,
Recording Secretary
Approved by unanimous vote of the Water Pollution Control Authority on June 1 2010.
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