Town of Sennett Water District No. 8 Public Information Meeting APRIL 26, 2017

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1 Town of Sennett Water District No. 8 Public Information Meeting APRIL 26, 2017

2 Sennett Town Board Town Supervisor Peter Adams Town Board Members Jerrold Eades Richard Gagliardi James Jeffers Edward Rizzo

3 Support to Town Board Penelope Dennis, Town Clerk Ron Schalck, Town Water & Wastewater Superintendent Fred Farrell, Town Assessor John Langey, Town Attorney Paul Chatfield, P.E., Town Engineer

4 Public Information Meeting Purpose Explain the Water District Formation Process. Review the work completed to date. Review the steps to be taken. Answer residents questions. Have Legal Petitions available for signature!

5 Goals and Objectives Provide affordable public water service. Maximize potential grants and low interest loans. Create a long-term plan for providing public water based upon need, requests and feasibility.

6 Water District Formation Process How is a Water District Formed? The residents may either petition the Town to form the Water District, (this is the method being used) or The Town may proceed with District Formation Under Article 12A Town Law. Preliminary Study is initiated by the Town Board: Service Areas are evaluated. Alternatives are considered. Feasibility of Project Area is determined. Preliminary Cost Estimates are made.

7 Water District Formation Process Boundary Map and Legal Description. Prepare Map, Plan and Report (MPR). Total Estimated Project Costs. Annual Cost per average users are estimated. Petition is prepared and signed by Property Owners. Legal Public Hearing held. NYS Comptroller s Office for District approval.

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9 Project Area East Genesee Street (NYS Route 20) Mandy Rue Carrie Court Swamp Road Franklin Street Road Parcell Road Calemad Drive

10 East Genesee Street (NYS Route 20) to County Line Franklin Street Road to the County Line County Line Road from Franklin Street Road to 2,800 LF north Beech Road to the County Line

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12 Background Information 218 homes without public water plus Vacant Lots. Average Home utilizes 60,000 gal./year of water. Water system to be operated by Town. Funding opportunities change from time to time. Project previously investigated 7-8 years ago.

13 Overall Project Details 56,100 LF of water main to install to serve 218 homes. Booster Pump Station. Fire hydrants located 600 apart. Fire Flow ranges from 726 to 1,396 gpm. Water Pressure ranges from 67 to 132 psi. Water services provided to each existing home and business to the front Right-of-Way.

14 What Grants are Available? (Highly Unlikely due to Income of Service Area) USDA Rural Development NYS Office of Community Renewal (OCR) NYS EFC Drinking Water State Revolving Fund (DWSRF)

15 What Loans are Available? USDA Rural Development NYS EFC DWSRF Municipal Bonds

16 Special Rules for Ag Parcels Parcels in agricultural production in an Ag District are totally exempt from special assessments for water EXCEPT for a house and 1 acre, and any farm buildings that connect to the public water.

17 Estimated Project Costs Total Estimated Capital Cost $ 3,695,000 Annual Debt Service Repayment* $ 177,294 Total Number of Equivalent Dwelling Units (EDU)** 243 Bond Repayment Cost per EDU = $177,294/243 EDU s = $729.60/Year/EDU *Assumes NO USDA Grant with 3.5% Bond for 38 Years and subject to change each quarter. The interest rate increased 1% since the December 6, 2016 Public Information Meeting. ** The Benefit Basis Method is being used to determine cost sharing between properties. A typical one-family home uses approximately 60,000 gallons/year and is charged 1 Equivalent Dwelling Unit (EDU) charge.

18 Why was the Benefit Basis Method chosen and NOT the Ad Valorem (AV) Method? The need for water is not based upon the value of one s home, but the fact that everyone EQUALLY needs a safe and reliable supply of water. The Benefit Basis provides a fair and equitable cost for properties regardless of Assessed Valuation. Homeowners who say they don t want the water or need the water are still benefiting by the project: Added fire protection provided. Access to the water main in the future if desired. Increased value of the property with public water. NYS Office of Comptroller and USDA RD have indicated that the vast majority of new water districts in the past years have been created using the Benefit Basis Method.

19 Annual Bond Repayment Cost (Debt Service Payment) One-Family Home (1.0 EDU) $ Two-Family Home (1.5 EDU) $1, Three-Family Home (1.5 EDU) $1, Motel (2.0 EDU Minimum) $1, Vacant Lot (0.5 EDU) $

20 First Year Cost to the Typical One-Family Residence Purchase of Water Meter $ 270 Installation of Water Service (100 lf x $12/lf) $1,200 Internal Plumbing Changes $ 125 Total Estimated Homeowner Costs $ 1, Debt Service Charge $ Estimated Water Cost (60,000 gallons/year) $ Additional O & M Cost for BPS $ Total Estimated Average Cost (1 st Year Only) $ 2,819.60

21 2 nd Year and Beyond Cost to the Typical One-Family Residence Debt Service Charge $ Estimated Water Cost (60,000 gallons/year) $ Additional O & M Cost for BPS $ Total Estimated Average Cost (2 nd Year & Beyond) $ 1,224.60

22 Vacant Lot Cost Debt Service Charge* $ Estimated Water Cost (60,000 gallons/year) $ 0.00 Additional O & M Cost for BPS (1/2 x $75) $ Total Estimated Average Cost $ * Each Vacant Lot would be charged 0.50 EDU

23 Homeowners Responsibility Install Water Service from ROW to house. Abandon wells or separate from well supply and Internal Plumbing Changes. Purchase of Water Meter ($270 One time only). Homes > 150 LF from water main may require a meter tile ($250). Purchase Water and comply with Town requirements.

24 Water System Implementation District Formation Process & Comptrollers Application 6-9 Months Secure Loans 6-9 Months concurrent with Comptroller Application Prepare Contract Plans and Specifications 4-6 Months concurrent with Comptroller Application Approvals, Permits, Easements, etc. 2-3 Months Bidding 1 Month Construction 4-5 Months

25 Questions and Answers If I don t want water, will I have to pay for it? You ll have to pay for the water district debt and the Additional O & M Cost for BPS; if you don t hook-up, you don t pay for water use. Will the project raise my property assessment? No, your property assessment does not change, your tax bill will include a separate water district charge. Future comparable sales may impact your future property assessment.

26 If I don t hook-up immediately, can I hook-up later? Yes Will I get to vote on the Water District? Since the district is being formed by a legal petition with the required number of signatures, no referendum will be held.

27 Can I keep my Private Well? Yes (as long as the well is completely disconnected from the public water supply)

28 Questions and Answers

29 Advantages of a Public Water System Consistent Quality and Quantity. Increased Fire Protection. Lower Homeowners (fire) Insurance Rate. Increased Property Values w/o increasing assessment. Enhanced marketability of property when the property is put up for sale.

30 Advantages of a Public Water System Less worry about water supply. Eliminate costs associated with private wells, as follows: Electricity Replacement of Pumps Replacement of Well Replacement of water softeners, chemicals, appliances and fixtures

31 Signing the Petition!

32 Signing the Petition!

33 What Table should you go to? Table 1 A through G (up to Gene Gray) Table 2 G (Richard Greene) through N (up to Bryan Norris) Table 3 N (North Family) through Z (Jean Zimmer)

34 Thank You