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

Town of Covington

Water District #2 Public Hearing

January 22, 2019

Town of Covington History

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

Town of Covington 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

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 Debt Service (Mortgage) Supply, Operation, and Maintenance Total Cost

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: $4,089,000 With Market Rate (Assumes 38 year Loan @ 3.50%) With $750,000 Grant (Assumes 38 year loan @ 2.25%) Debt Service Cost $196,199/year $131,649/year Debt Service Cost per EDU (120 total EDU’s) $1,635/year $1,097/year

• 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 Water Costs

• 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 Equivalent Dwelling Unit

• Water Service
• $15 per linear foot
• Internal Plumbing Changes
• Water Meter
• Well Abandonment
• Water Usage
• $350 per Year
• Backflow Prevention

Town of Covington Capital Costs – Private Side

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

Funding Opportunities

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

Supply, Operation, & Maintenance Cost

• 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.

Supply Operation Maintenance

Electricity Water Testing Chemicals Labor Repairs

Typical User Cost

• Other Estimated Costs:

– Service line from property line to structure: $10 - $20 per foot – Well abandonment or separation: $200 - $600

$1,097 - $1,635 / User / Year $350 / User / Year $1,447 - $1,985

Capital Project Debt Service (Mortgage) Supply, Operation, and Maintenance Total Cost

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 Treatment Chemicals $300.00 $25.00

Salt, Chlorine, Filters

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 Replace Washing Machine $30.00 $2.50

• Est. Replacement Every 7 Years

Replace Water Heater $60.00 $5.00

• Est. Replacement Every 7 Years

Replace Pump $100.00 $8.33

• Est. Replacement Every 7 Years

Replace Treatment System $750.00 $62.50

• Est. Replacement Every 10 Years

New Well $100.00 $8.33

• Est. Replacement Every 30 Years

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?

• 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 Next Steps

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