The quick fix was when we raised the rates short term to cover the deficit.

This is a long term solution to the problem. I don't know who Ed believes is trying to sell this to the residents. We are actually just giving the residents a choice of how they want to pay for this debt which was incurred. It can be paid in the rates as it is today or it can be paid 50% in the rates and 50% on your taxes.

Also, if it passes, the cost will be spread out over 30 years, not 41.

Whether its 30 years or 41 years all of us residents are sick of this. We were told there would be one beterment fee now we get raised water rates, higher taxes, and talk to PENALIZE those that have put money into a great septic system. Totally not fair to anyone. And if the LAZY reps who were supposed to watch over this project went after the companies that made the messes instead of the town paying to fix them maybe the cost would be a little lower.
BUT bottom line make all pay for this mess AND make us get the best out of it by adding it to our taxes.

Correct me if I'm wrong. You want me to pay money because my neighbor has a inground pool and a green lawn and I chose to have no pool and crab grass? Shouldn't he pay for what he used in water? Also, why would anyone move here to Tewksbury if you were told that you would have to pay your neighbors bills? Isn't there a law about what property taxes include? I don't think they include water...

Kelley,

This ballot question only deals with sewer not water. It is a debt exemption.

Scott

Thanks for the clarification. I need to do more research on this matter because obviously I am misunderstanding the difference.

If anyone knows the answer to this, some direction would be appreciated: originally, what was the proposed method for payment for this project? Was it divided among all the residents in town, or somehow divided only among those connected to the sewer?

Originally, Adriana, the plan was to charger a $3,000 hook up, or betterment, fee to those connecting. The remainder of the cost would be paid for by the users through their fees. The proponents of the plan thought nearly everyone would want to connect to sewer. They were wrong. Only 60 percent of people are connected. So, when the bill came due last year, fees had to increase. Last year, there was "rainy day" money that was able to be used to keep rates from rising too much. That money is now gone completely.

Only about 60% of the town DIDNT have the access to sewer when it was a t own vote for all remaining to get a $3,000.00 beterment fee to help fund the cost. They said we would never have to hook up as long as our system was good but they though most would but most knew not to as we were told our water bills would double (which they have and then some)
So some of us like myself are paying this beterment fee where the ones wth the bad failing systems in South Tewksbury got nothing to pay for but they are upset as their bills are high so now they are crying. Again us in the 60% with great newer systems are again putting out more money which is unfair if this passes.

Thanks for the clarification, Bill. Unfortunately, this seems like a lose-lose situation both ways, but given that this was a plan that the majority of voters at a town meeting approved, there isn't really a whole lot of room for people to say how it should have been; residents now have a vote to cast on what to do about it now.

Alex, just to clarify a couple of things (and BELIEVE me I know this is a confusing issue). Your water bill has nothing at all to do with the sewer project. Your water bill and sewer bill are seperate. The water bills have spiked but for different reasons .... $19 million in water line improvements and new meters are the two biggest. Apparently the old meters were severely under-reading the usage.
Anyway, the numbers are that 60 percent of residents DO have sewer and paid the $3,000 fee. 40 percent do not. And you are right, of course, many people with newer septic systems chose not to connect. And you are right again when you say that many of those people are arguing that they should not have to foot the bill for any of the sewer project.

That's pretty accurate Adriana. I think the one thing all the candidates agree on is that leaving this decision in the hands of the voters is a really good thing.

If I am understanding this correctly, if you have a septic system and do not hook up to sewer why should you pay for the ones that did? My vote would be in opposition of the question. When and if the 40% decide to hook in... that's when they should pay. Am I correct in stating this? Am I correct in saying that if anyone sells a home in town they have to hook into sewerage?

You're right on the math .... as for the forced hookup if you sell a home.... I Dont think so.... but i defer to Mr. Wilson or any one else with direct involvement.

whether or not you hook up to the sewer you still have to pay the betterment fee.

Whether you hook up or not you do have to pay the betterment fee but only 60% of the town had to pay it, this was voted in after most of South Tewksbury already had it so they all lucked out , got on sewer and now crying about the cost of it so again they want us to bail them out.

What was the proposed method of payment? Loan and $3K betterment fee. The rest would be covered in the rates. Unfortunately the early studies suggested that $15K-17K was the correct amount for the betterment fee. IMHO this was brought to the community to vote for at a lower amount because it would more likely pass. Additional users hooked up would also help, however right now we are not far below the projected number of homes that the previous BOS thought would be on sewer.
South Tewksbury? I live in S. Tewksbury and I got a bill for $3K. There were a couple small pockets that got on sewer and paid a smaller betterment fee. The $3K betterment did not apply to only the 60% that hooked up.
If I am understanding this correctly, if you have a septic system and do not hook up to sewer why should you pay for the ones that did? That is why there is a ballot question. Some believe it is a infrastructure improvement to the entire community, so we all foot the bill. Others feel, if they don’t use the system why should I hook up. I personally am not connected to sewer because my system is only 7 years old but I believe that in the long run reasonable sewer rates and the ability to connect to sewer increases the value of my home.
Do you have to hook up if you see your home? Yes

I tried to answer the questions to answers above. Hope it helps.

Thanks Scott. Definitely clarifies some of the history and some the rules that apply. Much appreciated.

I think this project benefits the whole town, like a school system does, like a good DPW does, like a good Fire and Police Dept does. The argument that you can, as a taxpayer, opt out of your contribution is self serving and divisive. How many people who were campaigning for the High School will vote NO on the sewer proposal and somehow square it in their heads that it is fair.

These costs will have to be paid from a broad based revenue stream in order to prevent this system from becoming even more inequitable. If the 60% enrollment figure is to be believed I would expect that this vote would pass. We'll see.

PF

ok so now the town is trying to put "scare tactics" into peoples heads by making comments such as "massive rate increases" etc... It's not the fault of the residents that the Town of Tewksbury mis-manages budgets, lies to people about costs and projections, can't figure how how much a Happy Meal should cost at McDonalds, I could go on and on... but I do have other things to do.
My comment is that I didn't hook up to sewer, septic was new when we purchased our house, paid the $3000.00 fee like everyone else and now this! We keep getting our taxes increased, water rates increased for what benefit??? Will it ever end?
One last thing who-ever decided last summer to send out the notice IN AUGUST that water rates were increased back IN JULY hopefully has been fired. What a fraud to the residents. This town is so out of balance. I have no faith in how this town is run and that is pretty sad!

What I was told is that only 60% of the town was responsible for a $3000 betterment fee. This has nothing to do with hook up and the 60% they need to be hooked up. what I am saying is that ALL should have had this betterment fee. Anyone get their water bill today....holey moley, I dont get this town. My bill was more than last summer and I watered the grass sometimes. Last summer when they raised the rates they should have read the meters as most will pools need water BEFORE July. This town is just pulling and pulling everyone away. It is pure junk to keep saying our values are going up with a new high school, all sewer. Sewer is not the greatest thing. If you have a great septic system why throw it away...like a tv yours works you dont go buy a new one until the old one dies. This town has forced me to go to food pantry with all these fees..

sheryl, let me offer up the facts on the rate increase. Because of the massive sewer debt, if 50 percent of the debt is NOT shifted to the tax levy, the average sewer user will see an increase on their sewer bill of a little more than $500 per year. If it does pass, the average sewer bill will decrease, the average property tax will increase and it will almost be a wash, depending on your sewer usage and the value of your house. In simplest terms, shifting the debt will be a significant financial benefit to those that have sewer and will be a financial debit to those who do not.

The biggest issue really is the accounting of the betterment fee $3000x10000households=$30,000,000. We should have paid down the debt with this fee. Where did it go? The answer I got was it was used to give to sewer users to help pay their bills. A really bad idea. Where else did it go?

I live in north Tewksbury, and have a new house built in the early 90's. I received a bill from the town for a $3000 betterment fee, and was instructed on the bill that it needed to be paid over the next ___ years. It was my understanding that ALL households were sent the same bill, regardless of whether they "hooked up" for town sewer. I paid it, because it was my PART of the betterment project as outlined by the town leaders.

I am not hooked into the town sewer -- I understand I will have to hook in, at my own expense, when my system fails or I sell my house. Until then, I am NOT paying for any more of this project! I am voting NO to the article on the ballot on Saturday 4/2.

Collect the $3000 from the other households who got a bill and didn't pay it! That is job #1.

FYI - Aside from the ballot question, if you sell your home, you ONLY need hook up if your system fails the Title V test by a licensed sewer company. If it passes, you do not have to hook up. It is different in other towns, but that is still how it is handled in home sales here in Tewksbury. Speaking as a Realtor.

However, the betterment fee MUST be paid prior to closing - whether or not you connect (it can be paid either by the seller or the buyer according to whatever is negotiated).

With the Town election only a few days away, how can anyone vote intelligently when there appears to be so much disagreement on what is in the best interests of the people that are not connected to the sewer system. Until we get some new faces in the selectmens chairs, and new thinking, we should vote to have the sewer debt remain as is. Time to have a clean sweep of the town government and department heads.

Christian, not everyone had to pay this betterment fee, if they collected it from all maybe the town would have had more money. I was told only 60% have a betterment fee.

Answers to Questions:
• There was a suggestion that the rate increase was possibly unethical which is untrue. The BOS voted on the proposed rate increase and it takes place for the current billing cycle. Also the line by line budget is on line.
• Every house that has been provided access after 2002 received the bill for $3000 which gets paid over 5 years. People do not get billed until the sewer is available to them. People that connected prior to that time paid an $800 fee which was the fee back then.
• The debt will get apportioned to each home based on home value, this is in the presentation that is on the town website.
• The town is not trying to put scare tactics to get people to approve this ballot initiative. We voted to give the residents a choice of paying for it in the rates or paying for it in your taxes.
• The current BOS are trying to clean up a mess that was created over the last 10 years while this project went on. I am also a resident, so I am also paying for the decisions made by Town Meeting, the Previous Town Manager & the Boards of Selectman.
• As for new ideas, this is a completely new approach to an old problem. The TM has also projected out the next five years and provided a vision to handle this debt with a plan.

My personal commentary is simple. This plan has been presented in town and also has been on the town website. People should have all the information they need. I am not sure why there is so much confusion. A history lesson will not fix this problem. FIghting about it will not fix this problem. It would be great to see this community act as one and work together to make this a great place to live. Some people will vote for this and others will vote against it. If it is approved then everyone will see an increase in taxes for 30 years and those connected to sewer will see a decrease in their rates. If a NO vote prevails then there will be no change in taxes and those connected to sewer will see an increase in their rates.

One good point that you made..."It would be great to see this community act as one and work together to make this a great place to live." Who is splitting the town? The negativity is what splits a town which makes it uneasy and very hard to work as a community. If all parties could get along and not just face to face and not be so bashing and disrespectful or presumptuous we could probably make this work for the better of our community and our future in Tewksbury.

My problem with the water bill is 1st half of year I had a usage of 100 that put me in the 3rd tier, I paid what I used and that is fine, second half of year I used 49 which should put me in the second tier, But No, the water I already payed for was still considered so 90 at the third tier plus 40 more put me in the third tier plus the last 9 put me in the fourth tier, How is that fare? I used and payed for the first half of the year "clear slate" second half year new usage new tier, but for some unfair reason I'm penalized for the first half of year! Ive been told this is illegal, is that true?

oh and I was told this is how they always have done it, I'm not sure about that and will go threw all my water bills and check this out before I vote tomorrow!

Tony, as I understand it we are being asked to move the debt portion of the cost to construct the sewer project which will stabilize the usage rates. Your neighbors sewer bill will still more than twice what yours is. You are correct about the tax allocation being proportional to your assessment. I just wanted to point out that you are not being hurt by the fact he has five people living in his house compared to your two. The infrastructure that is in place should have been paid for via the betterment fee (a flat fee per house). Now we are being asked to pay an average of $300 per year for 30 years ($9K) on top of the original $3K.

John, yes that is how they have been doing it for a few years.

Thanks Jonathan, I'm all for paying my bills and supporting the town, But that just does not seem fair, Its like having your credit card charged for something you have not received yet! :)

Yeah, I was pretty PO'd at the time it was implemented. Nothing about our current situation is fair and regardless of how anyone votes, that seems to be the one thing we all agree on.

It all goes back to the original question:

What the hell were we thinking all those years ago?

Look at how much debate we had over the $80 Mill High School when that was getting 50%+ CASH back from the state. We poured over the property tax evaluations, the cost, the project schedule, the contingencies, etc. I wish we (the public) had pushed for full disclosure and done our due dilligence on this project.

The only thing that matters now is how to move forward. I hate taxes. I will come out even if this passes but I will gain a small break through the IRS deduction on the added proprty tax.

But isn't it true even if this is NOT voted in on Saturday the BOS can STILL implement this?

123 ... technically true ... but all 5 selectmen ....as well as the two challengers ... are on record as saying they will respect the will of the people.

Bill,

You are 100% correct. We could have implemented this and not gone to a ballot question at all. One that didn't seem fair & two every year the BOS would review this and a new board could decide to change it, thus causing no stability and constant change.

Scott

I think its time for new blood all across the tables!! we know what we have had in the past! lets give a new future a try! can it really hurt us anymore than we have been or about to be?

I agree that it should have been proposed as a flat rate to every household.

123
The ballot question makes this a permanent change. Now it needs to pass at town meeting and Senator Finegold needs to get this approved by the Senate.

There was nothing illegal about how the rate change took place. I agree it could be explained and laid out differently, which we will do.

Tony D
The Selectman gave the residents a choice of paying for this project in the rates or paying for it in your tax levy. While as individuals we all have beliefs on what makes more sense, the BOS didn't have a preferred solution. We are working hard to get this town squared away financially and to plan for our future. Having a vehicle to handle this debt allows us to do that.

Scott

But remember, the chick and egg comparison here is that folks weren't hooking up to sewer, which is what caused the rate hike to begin with. My suspicion is that the housing boom several years ago contributed to many people either choosing to or being forced to get new septic before sewer was an option in their neighborhood. Once they had the new septic they saw no reason to connect ... and the wheels were set in motion for the current situation.

ok, fair enough. But then the question remains, if it is not paid for through property tax and it is not paid for through huge usage fee increases, how is the $7-8 million a year bill paid for? You would have to slash $7-8 million a year from other town government operating budget line items like road repair, police, fire and schools. Truth is, there is no answer that won't cause pain to someone.

What caused the problem was our State Government Title 5 regulations (a long time ago), I think 1970's. However, more recently mid 1990's Title 5 was modified to require any house that was sold to provide certification that their septic system was compliant. Most old systems which were installed many years prior did not comply and in some cases could not comply making their properties unsaleable, additionally, new development was being restricted. Hence the Town Sewer System.

The basis for the system is well intentioned and is necessary for the maintenance of everyones property values and growth of the town. The overall cost of the infrastructure and waste water treatment plant on a per household basis is closely correlated to the density of the of the population and Tewksbury is somewhat spread-out (less dense) driving op the cost on a per houshold basis. The fact that Tewksbury hired CDM (commonly Cost Doesn't Matter) was the only real mistake made.

I don't know if our system has excess capacity, if so perhaps we can rent it to a abutting town which needs capacity, to help reduce our burden???

I understand that some homeowners don't want to connect to the sewer system if they have recently upgraded their private septic. Can we get some hard numbers on that...how many households upgraded in the past 5 or 10 years? I suspect the numbers are smaller than we might think.

Bill I have a question. The 8 million ayear that needs to be paid back , Is that the loan for the whole sewer system throughout the town? If thats the case, Is it safe to say that chargeing 3000.00 dollars per house hold was not enough for this project. I am trying to understand this so bear with me, Is it also safe to say,
I am on sewer and the sewer rates i pay not only covers my own use of sewerage but the project throughout town.

Hi Elyssa, great question. Yes and oh my word yes. I can tell you that most towns charge anywhere from $7500 to $15,000 for a betterment fee. The $3,000 is generally considered to have been too low. From talking to people involved, those who supported the 100 percent sewer had hoped that a low hookup fee would encourage thousands of resident to connect. Had that happened, the sewer rate hikes would have not been nearly so big (remember, water is totally separate). However, for various reasons outlined here, many people chose not to connect to sewer. So, combine a low hookup fee with only 60 percent of residents connected and you get massive rate hike. There were other options back then. they could have tried to get people to pay through their property taxes but that would have been tough to get passed. they could have also chosen to do the project in bits and pieces, one neighborhood at a time and pay for it with hook up fees and modest rate hikes. They chose to try to do the whole project at once.

Simple math $3000 x 10000 households approx = $30,000,000. You can't pay back $100,000,000 with $30,000,000.
Unless your Obama.

The one factor everyone is forgetting here is interest ... I've got a question in with the Town finance department to find out how much this $101 million in debt is actually going to cost the town over the life of the loan. I will publish the answer once I get it.

I was told by the Town Manager that every household (including rental and affordable units), except for a few in South Tewksbury, pays ($600/year x 5 years= $3000). The question might include "what do we do with the $30mm". Do we pay down the debt or just spend it on other town budget overruns, e.g. to balance the overall budget, which would be totally unacceptable.

I don't know the terms of the bond offering, i doubt they are agency bonds, our debt could be lumped with other city/towns. I don't know how they are secured. Perhaps a refinance of the debt at potentially lower rates and a reduced principal is in order. Although who want to buy Muni's now?

If I went to McDonalds 14 years ago and paid one dollar for a hamburger and now that same burger costs three dollars, does that mean I owe McDonalds 2 dollars for 14 years for the price increase? If South Tewksbury residents had a $800 abatement, that was the price at that time for materials, etc. to run the lines down the street. South Tewksbury residents paid what they were told to pay at the time the lines went down our streets. The population in South Tewksbury is alot greater than in other parts of the town. The betterment fee was divided by the number of residents in the area in which it was installed. Other sections of town have houses with larger property sizes and lower population. It would cause the betterment fee to be more if you do the math. Less people to divide the fee by, the higher the betterment fee. Also, the homes in South Tewksbury were just about the oldest and that is why the hookup was done first.

As promised, I checked on the overall cost of the Sewer project, including interest. According to information provided by the town (with the understanding that interest rates and financing can fluctuate) this project is ultimately going to cost the town roughly $150 million by the time it is paid off. Again, roughly $100 million in principle and $50 million in interest. A vast majority of the debt will be paid off by 2035.