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05/11/2023 AC Minutes <br />4 <br />applies to construction near wetlands that disturbs more than an acre of land, so it would not apply <br />to most homes in Lexington. As to whether such mitigation would qualify for a rebate, Ms. Scerbo <br />noted again that the Town has not developed a credit system, but stated that a presumptive credit <br />could be issued if there was sufficient documentation and routine testing of the mitigation system. <br />There was also a concern that, in practice, such systems might still not do enough to limit the over- <br />all environmental impact from a site, meaning that a rebate would be difficult to justify. <br />Mr. Parker noted that it might be helpful to engage in public outreach to assure ratepayers that they <br />would only be billed once for stormwater, even if they had a second irrigation-only water meter. <br />Mr. Padaki asked whether public roads were included in stormwater fees. Ms. Conchilla replied that <br />public roads and sidewalks are considered to be a part of the stormwater conveyance system, and <br />are not subject to the fee. Mr. Padaki asked if that also applied to unaccepted roads. Ms. Conchilla <br />replied that such roads often run through many properties, making it difficult to properly allocate an <br />accurate fee to property holders, but that roads contained entirely within a property would be sub- <br />ject to the fee. Mr. Padaki asked if the Town made payments to any federal entity related to storm- <br />water. Mr. Livsey replied that the Town made no such payments, and noted that properties owned <br />by the federal government would also be subject to the Town’s stormwater fee. <br />Mr. Michelson asked about the proposed underride to shift operating costs out of the tax levy, and <br />why it could not also include capital costs. Ms. Kosnoff replied that the Stormwater Utility would <br />be able to issue debt and pay its debt service out of the enterprise fund, and that the underride would <br />only be proposed for the first year of the Stormwater Utility, after which the stormwater fees would <br />be set as needed. Mr. Michelson noted that the end result would be an increase in the total cost to <br />ratepayers if stormwater fees rose faster than the tax levy, and that the underride would do little to <br />counteract that trend. <br />Mr. Levine suggested that the Town could offer an override that also included stormwater capital <br />expenses because the Town has approved overrides for non-operating costs in the past, but Ms. <br />Kosnoff replied that the situation here is different. Capital costs for stormwater projects have been <br />funded out of Free Cash, not the tax levy, so it would be unsuitable to lower the tax levy in response <br />to moving those costs to the Stormwater Utility. <br />Mr. Levine asked how much of the total stormwater budget would be collected from tax-exempt or- <br />ganizations. Ms. Kosnoff was unable to provide the amount, but Mr. Levine suggested it would be <br />worth comparing that amount to the overhead for implementing the stormwater billing system. Mr. <br />Levine asked how much a typical house of worship might have to pay. Ms. Kosnoff replied that it <br />would typically be in the $5,000 to $10,000 range. A slide from the consultant’s report showed one <br />example of a church at 19 ERUs with a fee of $3,097. The largest tax-exempt property was Lincoln <br />Labs at 724 ERUs with a fee of $112,000. <br />Mr. Osborne asked how often other communities with Stormwater Utilities adjusted their rates. Ms. <br />Kosnoff replied that all enterprise funds must have an approved annual budget and the Town will <br />set rates accordingly. Mr. Livsey stated that the goal was annual updates to the impervious area da- <br />tabase, including mid-year adjustments for new construction. Mr. Osborne asked if there was a po- <br />tential for large swings in stormwater rates resulting from capital spending. Mr. Livsey replied that <br />future requirements regarding phosphorus control were a “wildcard” that could strongly affect rates, <br />but the DPW focuses on routine inspections and maintenance to reduce sudden costs from unex- <br />pected failures. <br />Mr. Osborne asked how billing would be implemented. Ms. Kosnoff replied that it would be tied <br />into the Town’s MUNIS system, with the stormwater fee included as an additional line item on