Water District #2 Public Hearing January 22, 2019 Town of - PowerPoint PPT Presentation

Water District #2 Public Hearing January 22, 2019 Town of Covington

History Town of Covington

What is a Water District? • Special District: ‘an area with a governing body that accomplishes assigned functions’ – Area: All land within the District Boundaries – Governing Body: The Owners of property within the District Boundaries – Assigned Functions: Supplying public water YOU petition to form the district YOU agree to pay the cost of the project YOU own the utilities YOU pay for the operation and maintenance

District Definition A water district is a special use district required by Town Law where a specific area of the Town receives a specific benefit. The cost for receiving this benefit is borne solely on the property owners in that specific area. Town of Covington

District Map Town of Covington

District Map Town of Covington

District Map Town of Covington

District Map Town of Covington

Public Side • Water Mains • 8-inch and 12-inch PVC • 47,165 linear feet • Water Storage Tank • Town of York • Pump Station • Valves & Hydrants • Water Services Town of Covington

How Much will it Cost? • Capital Project Cost – Annual “Debt Service” Payments (Mortgage) • Cost of Water (Supply, Operation, and Maintenance) – Fuel (electric and/or gas) – Compliance Testing and Reporting – Chemicals – Operator Expenses (salary, training, etc.) Capital Project Supply, Total Debt Service Operation, and Cost (Mortgage) Maintenance

Capital Project Cost Estimated Construction Cost $2,920,500 Construction Contingency (10%) $438,075 Legal, Engineering, and Administration (25%) $730,125 Total Estimated Cost $4,088,700 Total Estimated Project Cost: With Market Rate With $750,000 Grant $4,089,000 (Assumes 38 year (Assumes 38 year loan Loan @ 3.50%) @ 2.25%) Debt Service Cost $196,199/year $131,649/year Debt Service Cost per EDU $1,635/year $1,097/year (120 total EDU’s)

Water Costs • Average Single Family House • 60,000 gallons per year • Town of York • $4.80 per 1,000 gallons (Geneseo charges $3.50 per 1,000 gallons) • Town of Covington • Projected $1 per 1,000 gallons • Total Water Cost • $5.80 per 1,000 gallons x 60,000 = $350 per year Town of Covington

Equivalent Dwelling Unit • Single Family Home = 1 EDU • Multiple Family Home = 1 EDU + 0.5 EDU for Each Additional Family • Two Family Home = 1.5 EDU • Three Family Home = 2 EDU • Non- Residential • Calculated based on Average Daily Use divided by 300 gallons per day, rounded up • Example 900gpd / 300 gpd = 3 EDU’s Town of Covington

Equivalent Dwelling Unit • Vacant • Developable = 0.1 EDU • NYS Certified Ag-District = 0 EDU Town of Covington

Capital Costs – Private Side • Water Service • $15 per linear foot • Internal Plumbing Changes • Water Meter • Well Abandonment • Water Usage • $350 per Year • Backflow Prevention Town of Covington

Private Side • Service Line • Property Line to House or Business • Well • Abandonment vs Continued Use • Backflow • Required for all Commercial Users • Required for certain Residential Users Town of Covington

Funding Opportunities • USDA – Rural Development • NYS Drinking Water State Revolving Fund • NYS Office of Community Renewal • Self Funded • Private Contributions

Supply, Operation, & Maintenance Cost Chemicals Water Labor Testing Supply Operation Repairs Electricity Maintenance • Billed based on actual water consumption • Each home/business owner will be responsible for their own water bill, based on the actual consumption and the water rate. The typical single family residential home uses 60,000 gallons of water per year. Based on the current Town water rates, the average annual cost per year (2018) for a single family residential home is $350 per year.

Typical User Cost Capital Project Supply, Total Debt Service Operation, and Cost (Mortgage) Maintenance $1,097 - $350 / User / $1,447 - $1,635 / User Year $1,985 / Year • Other Estimated Costs: – Service line from property line to structure: $10 - $20 per foot – Well abandonment or separation: $200 - $600

What Do I Pay for Water Now? Summary of Well Costs (Worst Case Scenario) Item Annual Cost Monthly Cost Notes Electricity $50.00 $4.17 Salt, Chlorine, Filters Treatment Chemicals $300.00 $25.00 Bottled Water $400.00 $33.33 3 Member Family Replace Linens $20.00 $1.67 Laundromat $120.00 $10.00 Replace Fixtures $20.00 $1.67 Est. Replacement Every 7 Years Replace Washing Machine $30.00 $2.50 Est. Replacement Every 7 Years Replace Water Heater $60.00 $5.00 Replace Pump $100.00 $8.33 Est. Replacement Every 7 Years Est. Replacement Every 10 Years Replace Treatment System $750.00 $62.50 Est. Replacement Every 30 Years New Well $100.00 $8.33 Total = $1,950.00 $162.50

Cost Comparison • $1,447 per year = $120 per month • Ask yourself: – How much do I pay for non-essentials? ➢ Cable, cell phone and data, other? – How much value do I put on additional fire protection? – How often am I without power? – Am I happy with my water quality? – How much time do I spend maintaining my current system? – Am I prepared to replace my system if it suddenly fails?

Next Steps • Income Survey (Currently underway) • Water Quality Testing • Environmental Review • Finalize EDU Count • District Formation (this Public Hearing initiates the process) • USDA- RD Funding Application Town of Covington

Frequently Asked Questions • Can the cost change? – Capital project costs are estimates at this point – Water supply, operation, and maintenance costs have the potential to change annually as needed • How would I be billed? – Capital project costs (debt service) gets applied to your Town Tax Bill – Water supply, operation, and maintenance costs are billed quarterly based on meter readings • Do I still pay even if I don’t hook up to the new water? – You would still be charged for the debt service • State law requires that all properties within an established district that are receiving a benefit must share equally in that benefit whether using water or not • Exception: Agricultural properties only share if using the water, unless by special agreement – You would not receive a quarterly water bill

Frequently Asked Questions • How much will public water raise my assessment? – The existence of a water main or the connection to a water main does not in itself raise assessment values. Assessment values are based on the sale price of comparable houses in the area. • How long does the process take? – District Formation: 2-4 months – Funding Agency Application/Approval: 3-4 months – NYS Comptroller Approval (if required): 2-4 months – Design and Regulatory Approval: 4-6 months – Bidding and Construction: 6-9 months – Total: 18-24 months

Frequently Asked Questions • What can I do with my well? 1. Abandon the well 2. Keep the well but separate it from public water plumbing • Use for irrigation or other non-consumption uses 3. Keep the well and install backflow prevention (RPZ) to protect public water • Do I have to connect to the water main immediately? – No: • A service line will be installed to the property line of all existing residences • There will be no future hook up charge for existing residents that do not connect right away • Service lines will not be installed to undeveloped lots so a hookup fee would be required later

Town of Covington