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6 4 Selectmen's Meeting -3- June 20, 1988 WATER, SEWER RATES Mr. White referred to the general discussion at the Selectmen's Meeting on May 23 in which the status of the water and sewer enterprise account was reviewed. He again noted the excellent and comprehensive reports on the matter prepared by William Hadley of the Water Dept. The discussion that evening had centered around the issue of whether the Town of Bedford could continue, with MWRA permission, to be provided with Lexington water. It had been agreed at that time that new water and sewer rates should be calculated excluding the income received from Bedford's purchase of water. Mr. White recommended 35% increases in rates resulting in 99� /hcf for water and $1.08 /hcf for sewer, which would essentially provide full funding. Other items covered on May 23 included penalty and interest charges for delinquent payment of water /sewer bills; notice to the Air Force that payment at retail rates for water supplied by Lexington after two years; and direction regarding the implementation of a water conservation program. A graduated rate structure was also discussed and will be considered for the next year with higher rates to be proposed for heavier use. Upon motion duly made and seconded, it was voted to approve the �•• implementation of Demand and Interest Charges for delinquent payment of water and sewer bills, to become effective as of July 1, 1988. A $5.00 Demand Charge will be imposed for payments not made within 30 days; a 14% per annum to become effective after bills are past due at 1.20% per month. Upon motion duly made and seconded, it was voted to approve the FY Water Rate at 99� per hundred cubic feet and the FY'89 Sewer Rate at $1.08 per hundred cubic feet, effective as of July 1, 1988. It was also voted that a 20� per hundred cubic feet surcharge for usage over 10,000 cubic feet will be filled on a semi- annual basis. Upon motion duly made and seconded, it was voted to authorize the Town Manager to transmit to the U.S. Air Force, Hanscom Field, a notice that it is the Town's intent to impose charges for the provision of water to the Air Force at retail rates, commencing July 1, 1990. Mr. White will arrange a meeting with Colonel Seifert, Base Commander, to begin negotiations on the matter. Upon motion duly made and seconded, it was voted to adopt goals for water conservation and to develop and implement a water conservation program for the coming year. The Staff will continue to explore the issue of "step rates ". Mrs. Smith said that she saw the Board's actions to be consistent in its goal to attain an Enterprise basis for the water and sewer accounts. She complimented Mr. White and Mr. Hadley on their assistance with this progress and for the helpful information provided. X" TOWN MANAGER COMMITTEE APPOINTMENTS Upon motion duly made and seconded, it was voted to approve appointment by the Town Manager to the following Committees, Boards and Commissions: