4/26/2011 SEWER COMMISSION Minutes

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i Peter Boyer, Falmouth Funding Approach for wastewater Facilities Mr. Boyer described the history of Falmouth's progression, starting with the fall of 2009 when the Board of Selectmen reviewed a proposed draft of the Falmouth Comprehensive Wastewater Management Plan authored by Stearns&Wheler. 1h response, the Selectmen formed a Review Committee that worked throughout 2010 to develop recommendations and a financing plan to recommend to the Board of Selectmen. Mr. ]Boyer referenced page 5 in the C vMP document which depicts Falmouth's Sewer Debt Service Summary Schedule. Mr. Boyer noted that all communities will need to figure out how t o pay the oasts f wastewater projects. In Falmuth, the expense had initially been figured.to e $400 million. Falmouth opted to schedule the issuing of debt to fund the project, kering it-over many years. Mr. Boyer stated that staggering was based on plugging in the new debt when the old debt was paid off so as not to create a balloon. Mr. Boyer added that SRF.funding will be a critical need to finance wasiewater planning. Falmouth has planned to fund the first element of their plan with an SRS' loan o $1 0 million for construction. At market rate,the sarne loan would cost another $50 million. The issue of SRF depletion will be an enormous issue Capeide. Mr. Boyle referenced the Addendum page shoring the action timeline related to the funding of debt over a period of time. The Review Committee scrutinized the drab CWMP and original proposal for treatment and. discharge, which proposed a regional facility located on the base to service Falmouth, Bourne, Sandwich and Mashpee. The report proposed discharge by well-injection along Route 15 1. It was determined that it would not work in Falmouth since discharge would be in Zone 2 and the cost-for treatment would be substantial due to the discharge method. The Committee changed the focus and recommendation of the report and selected the existing tratrnent plant as the treatment plant, with discharge to be located at scattered sites throughout Falmouth. As a result,- the cost was reduced from$400 million t $2 90 million. Mr. Boyer referenced the East Waquoit watershed, which was originally scheduled for central sewer, but the Review Committee felt that the density was insufficient to justify central sewerage treatment and has been considered for cluster and on-site systems. That decision reduced the collection stern cost in the first phase by $35 million. Mr. Boyer referenced the local sources of funds available to fund the project as tett ennents and taxes. Mr. Boyer stated that Falmouth had not yet reached a conclusion about charging betterments. The Revi