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Currently the Town of [Waahpee hos aAAA rating. In all scenario's the Town mmuW be approaching <br /> our debt ceiling which is 5% of the equalized value of the Town. The Town can exceed the debt <br /> ceiling for sewer based on Massachusetts General Law Chapter 44 Section 7(1). Debt exclusion, but <br />� <br /> wmu|d have to be approved by the municipal finance oversight board at the state level. <br /> The revenues for the scenarios, mostly rooms tax, have not come to fruition as of yet. The estimates <br /> in the scenarios used are based on many eaeumpduna from a Cape Cod Chamber ofCVmmenaoe <br /> report. If these revenues come to fruition then that will offset some cost to the Mashpee Taxpayers. <br /> In the financial teams' opinion o eem/ering project of the Town of [Nenhpee within proposition 2 B <br /> would bedetrimental toall the Town and School departments funding inthe future years. <br /> It is the opinion of the Financial team that if the taxpayers want to nnsoha a department and do the <br /> construction of sewer system under the confines of the Town. the project would neod to be done <br /> with multiple temporary overrides (Debt Exclusions) votes to exempt the construction costs from <br /> Proposition 2 1/2 and a permanent override for the cost ofa department and additional administrative <br /> costs. <br /> The Financial team's opinion of the whole project is to have a separate sewer district created or <br /> combine this with the water district. Aseparate district does not affect the Town finances and leaves <br /> the sewehng of the town outside ofbudget discussions completely. They are their own entity, with <br /> their own bond rating, {}PEB. Retirement. and Health insurance. A district would have hs' own tax <br /> rate aswell and not bobound byproposition 2|4. <br /> � <br /> Therefore it is also our opinion that it is premature to advocate passage for design and construction <br /> plans in the upcoming May Town meeting until it has been decided if sewer is going to be done in- <br /> house or via district. <br /> n-houeeorviediethct. <br /> Whether district ora department is created within the Town it still does not change the fact that <br /> sewering the Town of Mashpee will be very expensive to the Taxpayers of Mashpee. <br /> The financial team feels that it is our responsibility to inform the public and the selectmen of the <br /> financial implications nfprior bztheir decision making. <br /> Yours Truly, <br /> DawnThmyor—HnanceD|nactor A(a mg <br /> ('raig�/aye�^- |axE�necmn/naasurer <br /> 0Page 2 <br />