Transcript The Point O’Woods Association, Incorporated

Water and Sewer Systems:
WPCA Benefit Assessment and
Pre-Construction Public Hearing
WPCA BENEFIT ASSESSMENT, PRE CONSTRUCTION HEARING
AGENDA
 2008 Sewer and Water Update
 Overview of Construction Project
 Review of Proposed Benefit
Assessment Method
 Estimated Costs
 Q&A with Panel
Rob Prybylo – RFP Engineering, LLC
Norbert Church, Esq. – Counsel
Chris Kerin – Appraiser, Kerin and Kerin
WPCA Members:
Kathy Aldridge
Marty Guyer
Jack Harney
Kathy Mckeough
Mark Stankiewicz
Bill Lacourciere
Rob Prybylo
Bill Lacourciere
FY 2008 in Review
 Engineering Design Completed
 DEP, DPH, CWC, VE reviews completed
 Construction bids received
 Benefit assessment method proposed
 Project approved and funded by the CT Bond
Commission
FY 2008 in Review
 Intermunicipal Agreement Completed
 One agreement – East Lyme
 Established interconnection fee of $1,026,000
 User fee same as East Lyme customer: $5 per 1,000 GPD
 Fee for using State loaned capacity if and when
necessary - $5 per 1,000 GPD
 Pay for actual flow used instead of flat rate
FY 2008 in Review
 Improved Communications
 4 Benefit Assessment workshops
 11 WPCA meetings
 Annual Meeting
 Public Hearing
 Joint BOG/WPCA meetings
 Monthly newsletters
 Monthly FAQs
 WPCA website
FY 2008 in Review
 Construction Permits Approved:
 Old Lyme Inland Wetlands and Watercourses
Commission
 East Lyme Conservation (wetlands) Commission
 DOT approval for Route 156
 Amtrak for construction beneath railroad trestle
 Old Lyme Zoning Commission (pending)
Construction Schedule
 Paganelli Construction Co. has 2 years to complete the
project
 No work will begin within Point O’Woods until after
Labor Day, 2008
 We anticipate that Paganelli will try to complete as
much work as possible during “off seasons”
Sewer System
 Work will start with mains in streets and pump
stations
 Installation of individual grinder pumps and lateral
sewers to individual properties will be installed only
after mains have been installed in the streets
 Curb-to-Curb overlay pavement will be installed
towards the end of the project after pipelines have
been installed
Sewer System
 Working hours will be from 7:30 AM until 4:00 PM
 Detours will be necessary to divert traffic around
construction crews
 We will post and update construction schedules on the
WPCA’s website (www.point-o-woodswpca.com)
Water System
 Paganelli Construction Co. will install the water mains
in the street in the same trench as the sanitary sewers.
 All new water mains will be installed at frost-proof
depths
 Paganelli will install new services from the mains to
each current customer’s property and install a new
meter pit at a frost-proof depth for each existing
customer
Water System
 Paganelli will then connect from the meter pit to the
existing water service at a point near the street
 Paganelli WILL NOT replace the existing pipe from
the meter pit to the house
 Temporary water services will be maintained during
construction to enable existing system to be taken out
of service
Water System
 Only brief outages are anticipated as houses are
connected from existing mains to temporary system
and from temporary system to new mains
 Most/all of this work should be completed during offseason periods when most properties are not occupied
Grinder Pumps
 The Association will own, install, and maintain grinder
pumps and pressure sewer from the pump to the main
in the street
 Property owners will be responsible for connecting
from the house to the grinder pump and to bring
electricity to the electrical panel
 Some properties may need to upgrade their electric
panel to accommodate grinder pumps
 Notification letters have been sent to property owners
that will receive grinder pumps asking them to contact
Doug Hill at RFP Engineering
Grinder Pumps
• We will meet with property owners at their house to
discuss best location for pump and pipes
• Property owners will need to execute an agreement
with the Association giving the Association the right
to go onto property to install and maintain the pumps
and pipes
 The WPCA will be contacting property owners with
grinder pumps soon to begin this process
Blasting
 Unfortunately, much of the project will require
blasting to remove ledge rock
 Paganelli Construction Co. is required to hire a
qualified, licensed blaster to oversee and perform all
blasting
 Paganelli’s blaster will be required to perform a PreBlast survey of each building that is within 250 feet of
where blasting will be conducted.
Blasting
 Blasting will only be allowed between the hours of 9
AM and 3 PM
 All blasting work will be under the purview of the local
fire marshal's office
Easements
 We need to obtain easements from the owners of 5
properties along Champion & Hillcrest Roads
 Water and sewer services will be installed behind the
existing sea wall
 Sewer service will be by gravity
 The WPCA will be contacting these property owners
shortly to begin the process
Communications
 Doug Hill, P.E. will serve as Resident Engineer during
construction and should be the first point of contact
for construction-related issues
 He will have an office trailer in or near Point O’Woods
 His contact information will be made available on the
POW WPCA website as soon as it is established
Communications
 Please check www.point-o-woods.com often to receive
important bulletins and work schedule updates.
Benefit Assessment Method
 Goal: Determine the most equitable benefit
assessment method for our community which is most
defensible in court
Benefit Assessment Method
 Process:
 Four public workshops
 Nine WPCA meetings
 Surveyed various communities with similar conditions
 Consultants



Real Estate Experts
Appraisers
Legal Experts
 BOG survey of the community
 Considered several benefit assessment methods
Benefit Assessment Method
 Methods Considered:
 Flat rate (evenly divided amongst all of us)
 Property value
 Front footage, acreage
 Usage
 Number of bedrooms
 Combinations of the above
Benefit Assessment Method
 All but flat rate and property value methods were
ruled out because:
 Uniquely, POW properties are all single-family homes
 No commercial properties
 No industrial properties
 No farms
 No municipal buildings
 No method of measuring usage at this time
Benefit Assessment Method
 Two methods best met our objectives:
Flat Rate
Property Assessment
 Property Assessment:
 Preferred by majority of respondents to BOG survey
 Least defensible legally – there would be cases where the
benefit assessment would exceed the value of the
benefit derived from the project
Benefit Assessment Method
 Property Assessment (continued):
 Most disproportionate – some properties would pay over
$50,000 and others less than $15,000 and at times the
derived value would be reversed
 Moving target – a presently unimproved property could
be greatly improved following construction but pay a
disproportionately small assessment.
Benefit Assessment Method
 Flat Rate:
 Met expectations of most property owners of $24,000
per property
 Method used alone or in some comination by most
communities
 Most defensible in court – highly unlikely that a
property would be assessed higher than the value
derived from the project
 Whether communities we spoke with used it solely or
not, most strongly recommended it because it is simple,
fair, and defensible
Benefit Assessment Method
 Flat Rate (continued):
 Recommended by counsels Norbert Church and James
Mattern and our appraiser, Chris Kerin
 Method most easily managed by a small, volunteer
community
Benefit Assessment Method
 Appraisal Report:
 Average value derived from the sewer and year-round
water project is
$70,000
 Benefit derived could be inverse from benefit assessed
 Virtually guarantees that that a flat rate method could
not be legally defeated in court
Benefit Assessment Method
 Legal Opinion:
 It is reasonably probable that a seasonal property would
be converted to year round occupancy with year round
sewer and water available
 Flat rate was most legally defensible method
Benefit Assessment Method
 Grinder Pumps:
 Use of grinder pumps saves us all millions of dollars
 Their proper function is critical to the overall efficacy of
the system; therefore, they should be owned, installed
and maintained by the POW Association
 They are an inconvenience to the property owner


Have to pay for electricity to operate
Have to provide POW an easement for access
 Compensation:
 POW pays for grinder pump and its installation
 POW maintains the grinder pump
 POW pays for cost of any connection that exceeds $8,000
Benefit Assessment Method
PROPOSAL:
The WPCA proposes that the benefit assessment
method be flat rate for all
That each single-family dwelling be classified as a unit
That the benefit assessment be assessed on each unit
That all property owners pay for their own connections
That the maximum cost a property owner will pay for the
connection of a grinder pump to the street is $8,000
Annual User Fees (Entire System)
Annualized Avg.
Daily Use @ a
Cost of $5/1,000
GPD
Daily
Cost
Annual
Cost
Cost per
Unit
25,000 GPD
$125
$45,625
$106
30,000 GPD
$150
$54,750
$128
40,000 GPD
$200
$73,000
$171
100,000 GPD
$500
$182,500
$426
Other Costs
Expense
Range
Average Per Unit
One Time
Connection Costs
$1,000 - $8,000
$2,500
Association’s
Annual
Maintenance
Expense
$10,000 - $20,000
$23 - $47/year
Description
Construction
Including
Technical
Services,
Design Costs
Cost
State Grants
& Other
Funds
Net Cost to
Association
$2,922,000
$7,423,00
Cost per
Unit
Cost/Unit/
Year @ 2%,
20 Years
$9, 290,000
Legal,
Admin. &
Other
$345,000
Contingency
$530,000
Interest
$180,000
Subtotal
$10,345,000
$17,343
$20,811
$1,041/yr
Cost To Homeowners for Water,
Sewers and “New” Roads:
$17,343
Next Steps
 Gravity Sewer Connections:
 The WPCA is working on a plan to enable homeowners
to use a pre-selected/pre-qualified contractor at a preestablished price
 Policies:
 In the coming months, the WPCA will be establishing
several new policies:


Connection Policy (who, how, and when)
Sewer Use Charge Policy
Next Steps
 Meetings with Property Owners:
 Grinder Pump Properties


Decide on best location for grinder pump and pipe
Execute agreement
 Gravity Sewer Properties

Decide on best location for lateral sewer
 Blast Area Properties

Schedule time for pre-blast survey
Summary
 Design is Complete
 Bids are in and they are low
 State monies have been set aside
 Grant and Loan applications are pending
 East Lyme agreement is completed
 Permits are complete except one: Old Lyme Zoning
 Benefit Assessment method has been proposed
THANK YOU!!