Montuori Announces Good News Regarding Water Rates
Board of Selectmen approve recommendation regarding rate increase.
Photos
Tewksbury water rates will be going up starting July 1, but not by nearly as much as been thought.
Town Manager Richard Montuori told the Board of Selectmen Tuesday night he was changing his recommendation regarding the water rates for Fiscal Year 2014. Rather than the six percent increase he had earlier projected, Montuori said the increase would be just two percent.
For an average homeowner using 55,000 gallons of water a year, the increase it works out to a little over $8 a year, said Montuori. For an average family of four, using around 90,000 gallons a year, it amounts to an increase of roughly $16.26 per year.
Montuori said he was able to make the adjustment to the rate because water lien revenues, previously projected at $200,000, will actually be closer to $650,000.
"I'm comfortable dropping the water rate increase from six percent to two percent, " he said.
Selectman Todd Johnson pointed out that ever since the huge rate increase in Fiscal Year 2011, rates have remained relatively unchanged for the past three years. There was a decrease in Fiscal Year 2012, no change in Fiscal Year 2013 and now the slight increase.
"I think there has been a misconception regarding the water rates over the past few years," said Johnson, adding that prior to the Fiscal Year 2011 jump, it had been nearly two decades since the last rate hike.
The news was not as good regarding sewer rates. Despite an increase in sewer lien revenue projections from $350,000 to $500,000, Montuori said he felt he needed to stick with the eight percent rate increase for Fiscal Year 2014.
Montuori also announced that due to improved Enterprise Fund revenue projections, the town would not have to borrow any of the $1.275 million for the engineering and design work for the upgrade of the water filtration plant.
"I had been planning to take $675,000 out of Retained Earnings and borrow $600,000 (over 10 years)," said Montuori. "But now I can take the whole thing out of Retained Earnings. That will save us about $130,000 in interest."
In other business:
- The board approved the Run a Pleasant Mile 5K Road Race on May 5.
- The board tabled a vote on the renewal of the pool table license for Maverick's Restaurant and Lounge.
- The board appointed Rita O'Brien-Dee to represent the town on the board of Community Teamwork, Inc.
The board will meet again on April 2.
Mary Ellen Fernald
2:15 pm on Wednesday, March 13, 2013
Isn't that how its done. Say a higher rate and when people complain, lower it to what he wanted in the first place. Makes him look good.
angry neighbor
3:34 pm on Wednesday, March 13, 2013
I'm sorry, that is good news for who? They are still going up!
Joe Casparius
4:34 pm on Wednesday, March 13, 2013
I agree!
Doesn't sound like good news to me. I expect to read that the rate was going down after that headline!
Who Me?
3:44 pm on Wednesday, March 13, 2013
Two reasons, the backlash against rising water and sewer rates has gotten so strong that it can't be ignored.
Second, the Town wants to spend a boatload of cash soon on new projects and they need this water sewer debacle to die down before asking the Taxpayers for more money.
Bob
3:50 pm on Wednesday, March 13, 2013
Like all the years they cried the end of the world and firing teachers then found the money in a hidden draw to fully fund!
Mary Ellen Fernald
5:29 pm on Wednesday, March 13, 2013
I must have been misunderstood. I am not happy about the raise in water rates.
What i meant was, they give you a higher figure in the beginning and then lower it, so it looks like they are doing you a favor . No favors here. Before long our taxes will be higher than our take home pay.
Mary Ellen Fernald
5:34 pm on Wednesday, March 13, 2013
When are we going to get two meters like a lot of other towns?
Cecil Moore
8:24 pm on Wednesday, March 13, 2013
Ms. Fernald,
You write in here a lot of questions, you said you would support the ouster of our current town manager, and are critical of the decisions of other elected officials. As a candidate for Town Selectmen do you have anything to offer? Do you have any ideas, proposals, or policy changes which could improve our town? You come in here, throw around some dirt, say you want to be first to sign a petition to oust the TM, and criticize the sewer and water rates. Who do you propose to be the Town Manager? What are you going to do to lower the water and tax rates? Your campaign strategy is certainly unique.
Good luck and God Bless.
Rusty
8:17 pm on Wednesday, March 13, 2013
The old carrot and the Stick it up your @as routine.
Rusty
8:18 pm on Wednesday, March 13, 2013
Please don't vote for Tood Johnson!
Dan O'Neill
8:21 pm on Wednesday, March 13, 2013
decreased the increase in water but we are still going to pay big increase on the sewer side...for those of us on town sewer...remember every gallon in gets charged going out...still an increased rate on water....
Quick question....can someone explain water/sewer "lien revenue"??
Bob
9:27 am on Thursday, March 14, 2013
Dan, I believe it is the back taxes/fees for people who couldn't afford the $600X5 to pay for the privilege of having a pipe in front of their home. Also I think the outstanding bills for usage not paid on time.
Dan O'Neill
11:59 am on Thursday, March 14, 2013
so basically they have been basing their increase in both water & sewer rates on unpaid bills or accounts receivable...unbelievable....every town/city has outstanding receivables which are eventually collected...they are limited by prop 2 1/2 in raising taxes...thank god & the voters (I voted for prop 2 1/2 long ago)
This enterprise fund needs a conservative fiscal approach going forward...we cannot tackle every project at once....the consumers of water and/or sewer in this town need & deserve a break
Mary Ellen Fernald
6:54 pm on Thursday, March 14, 2013
Cecil,
I will be putting out a statement very soon. Thank you for the blessing. I like people who speak their minds, and don't down anyone who is trying to do what is best for this town.