Board of Selectmen, May 7, 2018

Meeting date: 
Monday, May 7, 2018

HOLDEN BOARD OF SELECTMEN

MEETING MINUTES

May 7, 2018

6:35PM                                                                                               Memorial Hall

 

Present: Chairman Robert Lavigne, Geri Herlihy, Jeremy Kurtz (6:46PM), Anthony Renzoni, Tim Ethier

 

Others Present:            Peter Lukes, Town Manager

                                    Stephanie Bacon, Assistant Town Manager

                                    Liz Fotos, Town Recorder

 

Chairman Lavigne called the meeting to order at 6:35PM.  The Board stood to recite the Pledge of Allegiance.

 

Chairman Lavigne stated that the Board would be passing over the Appointments, Licenses and Permits for the moment.

 

  1. Vote to Authorize the Town Manager to accept a deed of easement for drainage purposes in property located at 108 Wyoming Drive

 

Mr. Lukes stated that the owners had complained about drainage and the Town agreed to fix the drainage from our public way.  He stated that we needed rights to the property and that was what this easement was for.

 

Motion by Sel. Renzoni, seconded by Sel. Herlihy, it was VOTED TO AUTHORIZE THE TOWN MANAGER TO ACCEPT A DEED OF EASEMENT FOR DRAINAGE PURPOSES IN PROPERTY LOCATED AT 108 WYOMING DRIVE BY A VOTE OF 4-0.

 

  1. Town Manager Update

 

MMWEC Annual Conference: I was able to attend the Massachusetts Municipal Wholesale Electric Company (MMWEC) Annual Conference in Tyngsboro, MA last week  where it was not only a great learning experience regarding power portfolios, emerging technologies and market outlook, but Holden Municipal Light Department was also the recipient of the Francis King Leadership Award.  I was not able to attend the awards ceremony which took place at the dinner in the evening, but light Dept General Manager Jim Robinson accepted the award on behalf of HMLD and this should be a source of great pride for the town and our HMLD employees.  I’d like to thank our Assistant Town Manager, Steph Bacon who attendee the second day of the conference in my place while I finalized the Annual Town Meeting Warrant and tended to other town business.  We gained a great deal of knowledge and understanding from the conference seminars and were able to network with many professionals in the field.  

 

Master Plan Update Steering Committee: Enclosed in your packet is the Executive Order establishing the Master Plan Update Steering Committee.  Also enclosed is the list of those residents who have been appointed by me to this Committee.  The Committee will begin meeting next week to start the process of revamping our Master Plan which is now ten years old.  This was one of my goals that the Board set six months ago and as you know it is to occur in conjunction with a build out study that has been completed by the CMRPC and will be presented to the Master Plan Update Committee as a foundation for their work.  Phase I of a water/ sewer Study done by Weston & Sampson will also be presented to the committee.  Phase II of that study will be commissioned in FY 19 and should be finished alongside the Master Plan Update.  

 

Advertisement for HMLD General Manager: We have begun advertising the position of General Manager for the Holden Municipal Light Department.  The position is on our Town website and it will appear in regional and national trade journals beginning shortly.  We are also starting to contact residents to be on the screening committee which will probably need to start meeting by mid to late June in order to start their work.  Any interested residents who have a background in public administration or public utilities may apply to serve on the Committee by contacting my office.

 

Community Compact Best Practices Report: The Town of Holden engaged in Community Compact program with the Baker/Polito Administration about three years ago.  We chose information Technology as out topic area to create “best practices for the Town.” Since that time we have spawned a greater social media presence, a redesigned and continuously updated website on an improved platform, as well as many internal upgrades to our IT infrastructure.  We closed out the best practice report for IT and we expect to move on to a different topic area such as Economic Development and Housing.  I will keep the Board apprised of any grant opportunities that become available and the course that we would like to follow as a result as we determine what will most help the Town in the next few years.  Id like to thank Assistant Town Manager Steph Bacon for her help with getting us to this point.

 

MMA Seminar for New Selectmen: The Massachusetts Selectmen’s Association, a branch of the Mass Municipal Association, is hosting a Newly Elected Selectmen Training on Saturday, June 9 at the Natick Senior Center from 9AM to 1PM covering open meeting law, public records law, best practices for being a Selectmen, etc.  I would strongly recommend that any newly elected Holden Selectmen attend this training and I will reach out to any newcomers(s) in the May 14 election once the 2018 Board is known.

 

Housing Choice Initiation: The Baker/Polito Administration has created the Housing Choice Initiative with a goal of creating 135,000 new units in the Commonwealth by the year 2025.  The Town of Holden recently submitted our application to become part of the Governor’s Housing Choice Initiative.  The application is currently being reviewed and we expect to be accepted around the beginning of June.

 

The Town of Holden currently meets the requirements to become a designated community by having a current Community Compact designation and experiencing 5% of new unit growth based upon the 6,624 units documented in the U.S Census between January 1, 2013 and December 31, 2017.  The number of new units were verified by David Lindberg, Building Commission and total 442 units, which equals over 6%

 

Becoming a designated Housing Choice Community enables the Town to have exclusive right to Commonwealth grant programs, it is expected 5 million dollars will be available in FY 2019 for a wide  array of capital projects such as:

 

  • Acquisition costs: land, buildings, and other capital assets
  • New building construction or capital improvements to existing infrastructure
  • Infrastructure such as roads, sidewalks and curbs, bridges, tunnels, electrical lines, water lines, and sewer lines.
  • Acquiring long-term easements over real property
  • Vehicles, machinery, and heavy equipment or major building fixtures
  • Major renovations to parks and recreational fields
  • Engineering or design work required for a capital project; and research and feasibility studies,
  • Certain computer equipment and technology

 

In addition to the exclusive programs, Housing Choice Communities will receive bonus points when applying for certain Commonwealth grants such as MassWorks, PARC, and Complete Streets.

 

Mass 9-1-1 Department Newsletter: Your packets contain a copy of the April 2018 State 9-1-1 Newsletter in which our own Wachusett Regional Emergency Communication Center dispatch is mentioned as the newest addition to the cell phone 9-1-1 service.  Residents of Holden, Princeton and West Boylston will now be able to dial 911 directly from their cell phones and connect with our local dispatch in Holden instead of the prior method where cell calls went to the MSP and were the re-routed to the locality.  This saves time, ensures a faster response time and could ultimately save lives for our residents and residents of the Wachusett RECC.  Many thanks to Chief Armstrong and his team for continue to put Holden Dispatch services on the cutting edge of technology.

 

Sel. Renzoni stated that the Master Plan Committee would be meeting tomorrow, May 8, 2018.  He stated it would be the first meeting and they would speak about goals and elect leaders. He stated that CMRPC would not be available but that P. Harding, Director of Planning thought she could get them moving in the right direction.

 

  1. Acceptance of $8,245 from Inner-Title Corp

 

Mr. Lukes stated that this was a gift to the Fire Department to pay for sleds that could be used on ice or water.

 

Sel. Kurtz entered the meeting at 6:46PM.

 

Motion by Sel. Renzoni, seconded by Sel. Ethier, it was UNANIMOUSLY VOTED TO ACCEPT THE GIFT OF $8,245 FROM INNER-TITE CORP.

 

Sel. Renzoni suggested sending a thank you note on behalf of the Board.

 

  1. Appointments, Licenses, and Permits

 

Brian Bullock, Susie March, and Joe Sullivan were all present to support the appointment of Marcia Sherbourne to the Help at Home Committee.

 

Chairman Lavigne thanked Ms. Sherbourne for offering to help.  He stated that it an amazing organization for Holden.

 

Motion by Sel. Renzoni, seconded by Sel. Ethier, it was UNANIMOUSLY VOTED TO APPOINT MARCIA SHERBOURNE TO THE HELP AT HOME COMMITTEE

 

Chairman Lavigne asked Mr. Bullock to explain to the people at home how to contribute.

 

Mr. Bullock stated that there were envelopers sent home in the light bills or contributions could be made at any time to the Senior Center.  He stated that the outreach is out of the Senior Center but it is for people of any age and is completely confidential.  He stated that it was for any utilities or if there was another need they could review and see if they were able to assist.

 

  1. Vote to Appropriate $3,990 from Wachusett Trust Fund for One (1) Lifepak 1000 for the Holden Police Dept.

 

Mr. Lukes stated that this was a request for a lifepak for the police department.

 

Chairman Lavigne left the meeting at 6:52PM.

 

Sel. Renzoni stated that this was common practice for public safety.  He stated that he felt that this was good and appropriate use of this money. 

 

Chairman Lavigne returned to the meeting at 6:53PM.

 

Mr. Lukes stated that there was about $200,000 currently in the fund.

 

Sel. Ethier stated that this was the Wachusett Fund that was created with the assets from Holden Hospital when it closed.  He stated that we owe some thanks to the residents that fought to have this fund established. He stated that we owe them a debt of gratitude.

 

Motion by Sel. Renzoni, seconded by Sel. Ethier, it was UNANIMOUSLY VOTED TO APPROPRATE $3,990 FROM WACHUSETT TRUST FUND FOR ONE LIKEPAK 1000 FOR HOLDEN POLICE DEPARTMENT.

 

  1. Open, Set, Close Annual Town Meeting Warrant

 

Mr. Lukes stated that there were no changes from the last time for this matter.

 

Motion by Sel. Renzoni, seconded by Sel. Herlihy, it was UNANIMOUSLY VOTED TO AUTHORIZE THE CHAIR TO ASSIGN SPEAKING ROLES TO VARIOUS WARRANT ARTICLES FOR TOWN MEETING.

 

  1. Selectmen Minutes

 

None

 

  1. Selectmen Miscellaneous

 

Sel. Herlihy: none

 

Sel. Renzoni stated that he was lucky enough to attend the Girl Scout Ceremony, the Bridge Crossing Ceremony.  He stated that it was a very impressive group of girls and commended them on their Bronze projects.

 

Sel. Ethier agreed and stated there was a great turnout.

 

Sel. Renzoni stated that next Monday was the Town Elections and he encouraged people to get out and vote.

 

Sel. Kurtz stated that he enjoyed the DPW Open House he attended.  He stated that it was a great turnout and the Building Committee did a great job answering questions for those people coming through.

 

Sel. Ethier stated that this was his last meeting on the Board of Selectmen as he was not running again for the Board.  He stated that it has been enjoyable even if it was contentious at times.  He stated that they all do what they feel is best for Holden.   He stated that the two things he wishes to leave the Board with is the importance of the preservation of Eagle Lake and his hope for the Board to look at the DPW Building Facility critically and in the event that the budget comes in lower to consider expanding it to house things like Holden Cable.

 

Sel. Ethier thanked his fellow board members and stated that it had been interesting and enjoyable to serve with them. 

 

Chairman Lavigne thanked Sel. Ethier for his service and presented him with a Certificate from the Town of Holden. 

 

Motion by Sel. Renzoni, seconded by Sel. Kurtz, it was UNANIMOUSLY VOTED TO AUTHORIZE THE TOWN MANAGER TO APPROVE ANY PERMITS NEEDED FOR THE MEMORIAL DAY PARADE.

 

Chairman Lavigne stated that May 14, 2018 was the Annual Town Election and that Absentee Ballots were available until May 11, 2018.  

 

Chairman Lavigne stated that on May 12, 2018 Troop 180 was doing it annual plant sale on the Town Common, he wished them luck with that.

 

  1. Citizens Address

 

None

 

  1. Discussion on Open Meeting Law Training for Boards and Commissions

 

Sel. Renzoni stated that he wanted to propose that the Board of Selectmen sponsor Open Meeting Law Training for every volunteer Board and Committee.  He stated that it had been some time since there was formal training.  He stated that they could reach out to the DA Office or the State and set up a training and ask the Boards to come in for this training.  Sel. Renzoni stated that when he came onto the Board, the Social Media Aspect was not understood and that was something that formal training could assist with. 

 

Chairman Lavigne stated that he agreed and that it was a different world then it was years ago. 

 

Sel. Renzoni stated that without objection they could ask the Town Manager to plan something for September.

 

Chairman Lavigne called a short recess at 7:10PM until the 7:15PM Public Hearing

 

Chairman Lavigne called the meeting back to order at 7:15PM.

 

  1. Public Hearing –Wine & Malt Beverages License// Seven Saws Brewing, LLC 1148 Main Street

 

Motion by Sel. Renzoni, seconded by Sel. Herlihy, it was UNANIMOUSLY VOTED TO OPEN THE PUBLIC HEARING FOR WINE AND MALT LICENSE // SEVEN SAWS BREWING, LLC, 1148 MAIN STREET.

 

Sel. Renzoni invited up Seven Saws to the podium.

 

Chairman Lavigne asked them to tell the Board a little bit about what they were doing.

 

The Applicant stated that their plan was mostly to sell and distribute.  He stated that they will have samples on site and it will be mostly for people to come in, sample the beer and take the sample home.  He stated that it was not really someplace for people to congregate.  He stated that the occupancy was for under 50 and was a small tavern so they could self distribute their beer.

 

Sel. Ethier stated that he had sampled their product at Specialty Sandwich.  He stated that there was parking in the back but he asked if they had met their abutters yet.

 

Seven Saws stated that they wanted to wait for this meeting and then go over to meet them.

 

Sel. Renzoni stated that he was looking at the application; he stated that the idea was to serve samples on site not to service pints.

 

Seven Saws replied that eventually they could but right now supply was too limited.

 

Sel. Renzoni asked if they were all TIP certified.

 

Mr. Lukes replied they were.

 

Seven Saws replied that it was an ABCC Regulation.

 

Sel. Herlihy asked if any of the licenses changed if they served larger size glasses.

 

Seven Saws replied they could serve any size glass they wished.  He stated that they had met with Chief Armstrong as well.

 

Sel. Renzoni asked the applicant to explain what a growler was.

 

Seven Saws replied that it was a glass bottle that they were able to fill and cap in 32 oz or 64 oz sizes for the public to take home and enjoy.

 

Sel. Renzoni asked how many beers they had on tap.

 

Seven Saws replied they had 12 different beers on tap.

 

Sel. Renzoni asked if they had seats or if it was a stand and fill.

 

Seven Saws replied their plan was to have 26 seats and a floating bar and about 8-10 café tables.

 

Sel. Renzoni asked if their location had a basement.

 

The Applicant replied it did not and that they would be brewing in their original location.

 

Chairman Lavigne asked if they were able to expand towards the back.

 

Seven Saws replied that it could be a plan for the future.

 

Mr. Lukes stated that Seven Saws had met with Fire and Police in addition to Building Department and had addressed all the concerns that had been raised.  He asked for them to make clear their hours of operation.

 

Seven Saws replied that they were going to operate Thursday, Friday, and Saturday, and possibly Wednesday on off hours from Horace’s Barber Shop.  He stated they were anticipating 4pm-8pm or 5pm-8pm, possibly 9pm in the summer.  He stated some of it will depend on the limited quantities that they had.

 

Sel. Renzoni asked if they would still be supplying to local restaurants.

 

Seven Saws replied that they would still be supplying to Specialty Sandwich.

 

Sel. Renzoni asked their production ability.

 

Seven Saws replied it was 3BBL’s.  He stated that 1BBL was about 32 gallons and they could do up to 3 barrels per week. He stated that could grown with a larger tank but that was what they were able to do currently.  They stated that they would look to upgrade the barrel eventually but the most their current location could do was six.

 

Chairman Lavigne asked when they would do their grand opening.

 

The Applicant replied that they were hoping for Memorial Day.

 

Sel. Renzoni stated that the parade ended at 1pm.

 

Sel. Ethier asked if there was a limited number of pouring licenses that the Town could have.

 

Mr. Lukes replied that there was a limited number of package stores, but no limit of bars or pouring licenses.

 

Chairman Lavigne opened it up for public comment.

 

Susan Marsh, Madison Parkway was present at the meeting.  She stated that she was an abutter and had concerns, she asked if there would be a food truck present.

 

Seven Saws replied that there would not be one as of now and that there was a concern with the right of way so that could not happen.

 

Ms. Marsh asked how many parking spaces they had.

 

Seven Saws replied they had 7 and one handicap.

 

Ms. Marsh stated that she was concerned about trash and parking.  She stated that she was happy with Meola’s coming into Town but that there was already trash issues and that the parking was a little dangerous coming in and out of Main Street.  She stated that even though she was basically in favor of this, having more places that draw people into the center of Town puts the responsibility on the Town to keep things neat and clean.

 

Mr. Lukes replied that Meola’s had responded to all concerns from fire, police, building, and DPW.  He stated that they had already demonstrated being a good neighbor by addressing any concerns the Town bought forward but if there were any additional concerns they could bring it to the Towns attention.

 

Chairman Lavigne stated that Meola’s by definition would have a lot of trash however this establishment would not.  He stated that as far as traffic was concerned if there was an issue with traffic which turned into a public safety issue the town could require a police presence to help with the flow of traffic. 

 

Sel. Ethier stated that as far as parking was concerned, he asked about the Town spots across from the library and the Senior Center.

 

Mr. Lukes stated that there was a walking path.

 

Sel. Ethier stated that they could direct people over there to park.

 

Seven Saws stated that they would have a full page on their website that was dedicated to where to park and they would make sure that they educated their patrons on where they should and shouldn’t be parking.

 

The Applicant stated that they all lived in Holden and loved the Town.  He stated that they wanted to be good neighbors and they want their neighbors to be happy.

 

Dave Peterson, 25 Bascom Parkway was present at the meeting.  He stated that all his bedrooms abut their parking lot. He stated that he is an early riser due to work and that he knows that if there is alcohol involved their will be noise.  He stated that he is not sure what they could do about it but he also heard that there may be music.  He stated that the lights and the noise were his concerns.

 

Chairman Lavigne stated that he believes they said that they would be closing at 8pm or 9pm so it was not a typical bar that would be open until 1am or 2am.

 

Mr. Peterson stated that he is concerned they will change that down the road.

 

Sel. Renzoni asked Seven Saws what their intent was regarding music and public entertaining.

 

Seven Saws replied that they were going to have music inside but it will not be loud.  He stated that they wanted it to be conversational music and they wanted a purposeful place where people could come in and have a conversation without cell phones or televisions.  He stated that they wanted a community place and that they would be closed by 9pm at the latest in the summer. 

 

Mr. Peterson asked if they wanted people to stop and sit and drink or come in and purchase their microbrews.

 

Seven Saws replied that they could come in and taste them and then take the growlers on the road.

 

Mr. Peterson asked about the outside tables down the road.

 

Seven Saws replied that many things would have to happen before that point.  He stated that it was a licensing process again and that right now it was not in the plans.  He stated that they wanted to be the best neighbors and he encouraged any of the abutters to go in and visit them if there were any concerns. 

 

Mr. Peterson asked if they were going to add any additional lights.

 

The applicant replied that as of right now they have not been told to do so but he could not say indefinitely.

 

Chairman Lavigne stated that if they needed to add anything it would be due to public safety reasons.

 

Beverly Mansfield, Miles Funeral Home was present at the meeting.  She stated that she was an abutter and one of the owners of Miles Funeral Home.  She stated that in general they are supportive of the neighbors and they try to work with their abutters. She stated with Meola’s they have seen lots of young families come in but there was problems with garbage and the fact that it was a one way street and people were leaving the same way.  She stated that they have 5-7 parking spaces and the owners were going to be there too which take up spaces.  She stated the Damon House has parking as do they and every business that goes into that location there they have no problem with patrons parking in their lots as long as they do not have an event or calling hours.  She stated that when there is large funerals or calling hours they put the cones out and the businesses need to know that they were going to do that. She stated the other thing that they need to understand is that all the outlets leave that location for the same reason, no foot traffic and no parking.  She stated they were going to run into that too.  She stated in general they don’t have an issue with this business being there but there is loud music and when doors open music is heard.  She stated that the minute they open the back and put tables out the noise level will go up and it will effect abutters.  She stated that she was asking them to be considerate of people as they expand.

 

Mark Hill, 19 Bascom Road was present at the meeting. He stated that he was neighbors with Mr. Peterson and he understood every concern that was raised.  He stated that he understood what they were trying to do but the minute you say music people are going to open the door, go to the car and the echo will be heard by the abutters. He stated that he will go into the establishment and ask them to turn down music if need be.  He stated that the lights over Dominos Pizza are already an issue.  He stated that he sees their energy but the minute they are speaking about putting something in the back it is going to cause an issue because it is not far from his property.  He stated he thinks parking will be an issue as well.  He stated that alcohol exuberates energy and stupidity.  He asked the applicants what their goal was; was it to have people come into their location and drink and have a bar or was it to promote their alcohol.   

 

Seven Saws replied that there was no outdoor seating. He stated for that to happen they would be to come before the Board again.  He stated what they were trying to do was self distribute the beer that they made.  He stated it was local and fresh and delicious and they were not looking to be a bar.  He stated they were closing at 8pm/9pm and not serving pints, they were serving samples.

 

Mr. Hill asked about seating. He asked if they were expecting people to come in and sit and drink from opening.

 

The Applicant replied that would not be possible.

 

Mr. Hill asked if they were going to have a limit of what could be served.  He stated it was a small space and was right in their backyards.

 

The Applicant stated that they had spoken with the Chief of Police and that he made it clear that they could not over serve.  He stated that they do not want people sitting there for that long anyway.

 

Mr. Hill stated he was concerned about music and noise as well.

 

The Applicant replied that there was an entrance on Main Street as well which would be the one that was predominantly used.

 

Mr. Hill stated that it sounded like they had the right energy and that they cared but they had issues in the past.  He asked about them putting up a fence.

 

Seven Saws replied that they leased the building and did not own the space to do so.

 

Chairman Lavigne stated that they could not force the owners of private property to do that. 

 

Seven Saws stated that they were not a bar.  He stated that they had craft brews and had no way to get it to retail space.  He stated that they should think of this as a retail shop. He stated that they did not have the size or capacity in this location for people to come and sit and drink. He stated that they were looking at this venue to get their product to the consumer similar to any other retail outlet.  He stated that down the road if they were successful and wanted to expand they would need to find a different space. 

 

Mr. Hill stated that they were a community and neighborhood and just wanted them to know that.

 

Seven Saws replied that they had kids in the area.  He stated they were the neighbors as well.  He stated that they want to be good stewards of the community and make sure there was no conflict.

 

Motion by Sel. Renzoni, seconded by Sel. Kurtz, it was UNANIMOUSLY VOTED TO CLOSE THE PUBLIC HEARING FOR WINE AND MALT BEVERAGES LICENSE/ SEVEN SAWS BREWING, LLC 1148 MAIN STREET.

 

Sel. Renzoni stated that he thought the applicants put up a responsible application and business plan. He stated that as a Board they had spoken about the Master Plan and one of the things the Master Plan discussed was making downtown a walking community.  He stated that the ice cream shop had done that to some degree. He stated that they can follow up with the trash issue as well.  He stated that the Town wants businesses to expand and to be good citizens and he thought this was a step to further opening downtown.  He stated that he thought this brewery with the amount of beer they were producing would have a limit nonetheless.  He stated right now he was supporting this; he said if down the line it was opened up for outdoor seating or entertainment he would have an issue with it.   He stated that he heard the concerns with parking and thought the municipal lot was a good place to start. He stated that all the concerns that were bought up were addressed.

 

Sel. Kurtz stated that for other businesses they put restrictions such as early deliveries and trash pick up.  He asked if there were any stipulations put on this business. 

 

Mr. Lukes stated that he did not recall any.

 

Sel. Renzoni asked the applicant about this; he stated that he believed the beer was being transferred in a pick up truck not large truck.

 

Seven Saws stated that right now everything was being delivered to their residence.  He stated there was not enough room to have deliveries to that location and the only delivery would be kegs of beer.  He stated that as of right now there were no early or late deliveries.   He stated that regarding trash there just wasn’t a lot of trash and that the only thing that could generate trash was that they were allowing people to bring food over and they would be aware of that.

 

Chairman Lavigne asked if they were doing dumpster pick up or regular Casella trash.

 

Seven Saws replied it was pick up through Casella and that they had limited trash from a production perspective.

 

Sel. Ethier stated it was good to see the interaction between the neighbors and the applicant. He asked if they could funnel traffic through the front door and use the back door for emergencies only.

 

Seven Saws replied that it would depend on the flow of traffic but they could take that suggestion into consideration.

 

Sel. Ethier asked if the municipal lot was legal to use.

 

Mr. Lukes replied it was.  He stated that there was no entertainment license with this application and if they wished to move forward with one it would have to be a different hearing.  He stated that he was confident that these applicants were committed to Holden and connected to the Town and he did not foresee any problems.  He stated if problems did arise they could revisit them.

 

Motion by Sel. Renzoni, seconded by Sel. Kurtz, it was UNANIMOUSLY VOTED TO APPROVE THE WINE AND MALT BEVERAGES LICESNSE FOR SEVEN SAWS BREWING, LLC, 1148 MAIN STREET AS PRESENTED.

 

  1. Discussion and Vote Regarding Water/Sewer Rates

 

Chairman Lavigne stated that they had met with Mr. Woodsmall at a previous meeting and had sent him questions as well.  He stated that most of the questions were regarding the potential rate structure and he asked Mr. Woodsmall to walk the Board through the letter he had drafted.

 

Mr. Woodsmall stated that they had provided itemized responses to the questions that the Board had provided.  He stated that he hoped they found it helpful and said that he could address any new comments or questions they had.

 

Sel. Renzoni stated that what he had asked about was about a $10 decrease, so the second option that Mr. Woodsmall outlined.  He stated the average increase to fixed was $32 as opposed to $42.  He stated that the other model is more risky, but he asked Mr. Woodsmall how risky he felt this option was.

 

Mr. Woodsmall replied he did not have an exact answer for that. He stated that there is variability that plays in but it is roughly a 5% spread for high years and low years.  He stated that the 5% variation does not sound like a lot but at the same time it is a fair amount when they budget so closely to the bottom line. He stated that the weather climate make it variable.  He said that as a municipal manager the less risk the better.

 

Sel. Renzoni stated that he thinks they have some stabilization in the event of a miscalculation.  He said if it seems to be on the low end, he (Woodsmall) could go back into the Board at any point during the year and adjust the rates during the year. He stated that they were not going to gamble and they knew with certainty what the fixed rate bought in revenue wise.  He stated that by shaving that they could use some of the reserve.

 

Mr. Woodsmall stated that in years past they had not had to use the reserve.  He stated that using the different scenarios and calculating it out what ends up happening is that the revenue is spread across the higher user.  He stated the higher user is carrying the larger share.

 

Sel. Renzoni stated that for the benefit of the Board, six or seven years ago they ran into this scenario and that was why the model was built this way.

 

Ms. Bacon left the meeting at 8:23PM.

 

Sel. Renzoni stated that he appreciated looking at the average home but what he was worried about was the lowest end user.  He stated that two people using a small amount of water daily would see the full extent of the increase if they did the entire increase on the fixed side.  He stated that the second option would decrease the fixed fee annually from $42 to $32. He stated that he was looking to protect the most vulnerable.

 

Ms. Bacon returned to the meeting at 8:25PM.

 

Sel. Ethier stated that he felt that this was a very small increase yearly and that they wanted the DPW Director to keep enough revenue generated.  He stated that he does not think that the Board needs to make this an issue as it was a small increase.  He stated that he was on a fixed income and it was not a huge increase.

 

Sel. Renzoni stated that thought that Sel. Ethier was only looking at the first sheet that outlined the average user.  He stated that he was speaking about the lowest end user.  He stated that Sel. Ethier may be able to afford the increase but with his time with the Legion he understands that even a modest increase is felt.

 

Sel. Ethier stated he understood but it was $42/year.

 

Sel. Renzoni stated that the average user was going to be okay but for the lowest end user even a $10 difference could be beneficial.  He stated if they were able to do something to shift the risk variable they should discuss it.

 

Sel. Ethier asked what percentage of people in Town were in the lowest size water pipe or discharge. He stated there was also cost of maintaining the line.

 

Chairman Lavigne stated that was a different issue.

 

Sel. Ethier stated that he understood what they were saying but the increase would be for all people in Town.

Mr. Woodsmall replied he did not have the breakdown of accounts handy.

 

Sel. Ethier stated that most people would end up paying $42/year increase. He stated that the increase is too minimal to argue.

 

Sel. Ethier stated he was not worried about people buying less water.  He stated that the average user could probably absorb the increase but there is a demographic out there, the low end water users that would feel this increase.  He stated if they decreased it on the low end, and gave some relief to the small chunk of the population it would significant to them.

 

Chairman Lavigne stated that one point was to get a better understanding is if they were covering the cost to distribute water and take sewage out of the home.  He stated there were certain amounts of set costs and he asked what they could shift to the user.  He stated that part of this was to get a comfort level about how this was structured, so basically the people that use more water pay more.  He stated that what they were discussing was the mechanisms to fund this and what was right and fair to the people.

 

Sel. Kurtz stated that he was disappointed in the Board.  He stated that they were looking at only one year and not a five year plan.  He stated that they should be looking longer term to create stabilization and to see how they can level this off in the years to come. 

 

Chairman Lavigne stated that at the last meeting, the five year outlook had a 10% accuracy. He stated that it was too far out to gauge the budget for the future but they needed to set the rate for the coming year.

 

Mr. Woodsmall stated that one caveat for the five year projection was that it assumed gains from the Worcester Sewer Case.  He stated if that did not happen it would again change the risk and decision making process.

 

Sel. Herlihy stated she wanted to go back to the fixed versus the variable to not punish the lowest end user. 

 

Sel. Renzoni stated that they had reviewed this previously.  He stated that they were already subsidizing the lower end user to some degree.  He stated that the infrastructure was in place with the water pipes and systems and that they knew they wanted to subsidize but it was to what extent.  He stated all five of the proposed scenarios get them to the $220,000 it was just a matter of how they got there.

 

Mr. Woodsmall agreed with the caveat of if the impact was great and the higher end user was conservative minded they would dramatically bring in less revenue.

 

Sel. Renzoni replied that some said that cost would impact how much water was used, others said it would not. 

 

Mr. Woodsmall replied that water users subsidized water fixed.

 

Sel. Renzoni replied that if you set it by a fair commodity that was true but that in the past they had said to subsidize to some degree.  He stated the more that is subsidized, the more risk there is.

 

Sel. Herlihy asked which expenses should go to fixed and which should go to variable.

 

Mr. Woodsmall replied that costs were determined but how revenue was allocated was not otherwise the fixed side would be higher and the lowest end user would see a bill triple in size.

 

Chairman Lavigne stated that the variable was the amount of water we purchase to resell.

 

Mr. Woodsmall replied on the water side it was the amount of water, the amount of electricity from interconnections and water wells, the amount of chemicals.  He stated cost, light and power and cost to disperse were all variable.

 

Chairman Lavigne stated that the Board had received correspondence from the Town Manager that they should have a Public Hearing.  He stated that he thought that they should wait for the Public Hearing to set the rate with advice from counsel.

 

Sel. Renzoni replied that he disagreed and was willing to make a motion.  He stated if it failed it failed but he did not think that it should be put off.

 

Sel. Renzoni made a motion to increase the Water/Sewer Rates effective July 1, 2018 with a 75% increase to the fixed side and a 25% increase to the variable side as presented with a provision that in 6 months the rate increase was to be contingent upon the Board adopting permanent rates. Sel. Herlihy seconded the motion.

 

Chairman Lavigne asked if they could propose a temporary rate increase until the next Board re-reviewed this and then set a Public Hearing.

 

Mr. Woodsmall stated that he was not sure what the logistics of that would be if the new Board did not approve it then they would be 50% short of revenue.

 

Chairman Lavigne stated that they had done temporary increases in the past and could at any point if need be.

 

Sel. Renzoni stated that his motion would force the next Board to tackle this matter while also guaranteeing revenue for July 1.  He stated it was consistent with what Mr. Woodsmall needed and it would allow the next Board to have a Public Hearing and adopt rates while also putting assurance in place for revenue.  He stated that he himself was up for reelection and it would have been easier for him to sit on this however he felt that he owed it to the Town Manager to present a budget that is funded and allow future Boards to adjust it as needed.

 

Sel. Herlihy stated she was reticent after reading the memo.

 

Chairman Lavigne stated that he appreciated Sel. Renzoni’s intent but felt that setting a temporary increase and then having the Public Hearing was putting the cart before the horse.  He stated that he was confident that they would be a budget at Town Meeting that funded the enterprise fund and then it would be on the Board to put forward a structure that would fund it.

 

Sel. Renzoni stated that this puts assurance in place going into Town Meeting.  He stated that it would mean that it was funded but would require a Public Hearing before the rate increased and would get the fiscal year started on the right foot.

 

Sel. Kurtz stated that nothing in government was temporary. He stated that he appreciated the hard work that Mr. Woodsmall did but that changing the rates arbitrarily was wrong.  He stated that the Board was there to stabilize the Town and they were not doing that if they weren’t looking at the complete picture.  He stated they did the same thing for power and for waste, they should do it for Water/ Sewer as well.  He stated that he is not in favor of this and had not heard a good response about the future needs other than a large increase in three years based off arbitrary numbers.  He stated he could not budget like that.

 

Sel. Renzoni stated that out of fairness to the Director, it was not arbitrary.  He stated that these estimates were not as certain as energy needs. He stated that his motion did nothing to address future fiscal years, it was a motion that says this Board puts rate in place. He stated it would just give Town Meeting some certainty.

 

The Motion that was made failed by a vote of 2-3.

 

Chairman Lavigne stated that this was perhaps his last meeting as Chair; he suggested they set a Public Hearing as soon as possible to get this taken care of.

 

Mr. Lukes stated that they were posted prior to Town Meeting.

 

Sel. Renzoni stated that he didn’t disagree but he thought a Public Hearing at this location and then a move to Town Meeting at 7PM would not be successful.

 

Chairman Lavigne agreed and said that it was asking a lot to go to two meetings in one night.  He stated he felt it could wait until the first meeting in June.

 

Sel. Renzoni thanked Mr. Woodsmall for his information.  He stated that he understood that he (Woodsmall) was not comfortable with risk but he felt that they could assume some calculated risk.  He stated that again his concern was the low end of the extreme.

 

Chairman Lavigne thanked Mr. Woodsmall.

 

Chairman Lavigne stated that this was potentially his last meeting as Chairman.  He stated that it was lots of fun and good debates and he felt that they accomplished a lot of things too. He also thanked Sel. Ethier for his time as well and for his willingness to always have a conversation.

 

Motion by Sel. Renzoni, seconded by Sel. Kurtz, it was UNANIMOUSLY VOTED TO ADJOURN THE MAY 7, 2018 BOARD OF SELECTMEN MEETING AT 9:00PM.

 

 

APPROVED: __June 18, 2018_____________