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WPCA REVIEWS ASSESSMENTS
B Y A NDREW G OROSKO
Water Pollution Control Authority (WPCA) members have started reviewing
preliminary sewer assessment figures for non-residential customers of the
municipal sewer system.
Non-residential customers will pay approximately $7 million of the costs of
sewer system construction, WPCA Chairman Peter Alagna said Wednesday.
Non-residential sewer customers include municipally owned buildings, churches,
commercial and industrial users.
In 1992, voters approved spending up to $34.3 million to build a sewer system.
Anticipated costs for the project currently exceed $30 million.
John Valente of Lesher-Glendinning Municipal Services presented the appraisal
firm's review of non-residential sewer assessments to WPCA members at an
October 10 session. Lesher-Glendinning also performed the town's last
revaluation of properties.
The projected non-residential sewer assessments range from $3,000 to almost
$500,000, Mr Alagna said. Mr Alagna did not disclose any specifics of the
non-residential assessments, saying the numbers are still "preliminary."
The non-residential sewer assessments represent 90 percent of the increase in
market value that having access to sewers will add to properties, according to
Mr Alagna.
The sewer assessments do not reflect 100 percent of the increase in value in
order to provide the town with a 10 percent "comfort zone" or "cushion" in
calculating the sewer assessments, Mr Alagna said.
For example, if a non-residential property is appraised at $400,000 now and is
estimated to increase in value to $500,000 by having access to sewers, the
sewer assessment would reflect 90 percent of the $100,000 increase in market
value. Thus, the sewer assessment would be $90,000, instead of $100,000.
Lesher-Glendinning's preliminary figures on non-residential sewer assessments
were compiled by reviewing comparable sales and rentals of properties in other
towns.
WPCA members may drop their previous idea of giving churches a break on sewer
assessments. Determining what constitutes a "church" or "house of worship"
could open up a "can of worms" for the WPCA in deciding who is and who is not
eligible for receiving a break on their sewer assessments, Mr Alagna said.
And any breaks given to churches on their sewer assessments would have to be
covered by town taxpayers at large in the annual town budget across a 20-year
span, he said.
The sewer assessments that eventually will be levied against non-residential
customers may be appealed in Danbury Superior Court by property owners.
Non-residential sewer customers will be eligible to receive federally
subsidized, two-percent-interest loans across a 20-year period to pay off
their sewer assessment charges.
Early this year, after wrangling for months, WPCA members set residential
sewer assessments at $9,900 for each of the almost 700 homes that will connect
to the sewerage system. The residential share of sewer system capital costs
amounts to almost $7 million.
Unlike residential customers, which are all charged the same sewer assessment,
non-residential customers are charged widely varying assessments because
access to sewers will create widely varying increases in those properties'
market values.
Mr Alagna said he expects that WPCA members will relatively quickly endorse
the non-residential sewer assessments, which will be proposed at an upcoming
public hearing.
Town taxpayers will cover about $4 million of construction costs for the sewer
system at large. Town taxpayers also will cover the sewer assessments, sewer
connection charges and sewer user costs for municipally owned buildings.
Members of the Legislative Council's ad hoc sewer assessment committee
attended the WPCA's October 10 session.
Melissa Pilchard, an ad hoc committee member, said she is concerned about the
abilities of individual businesses to absorb sewer assessment costs, adding
that some businesses might go out of business due to the assessments.
Besides sewer assessments, sewer users will be paying sewer connection
charges, and sewer user fees.
The town is under a state Department of Environmental Protection order to
rectify longstanding groundwater pollution problems in the borough, Taunton
Pond North and Sandy Hook Center. The sewer system is expected to be completed
in about a year.
Sewer connections will be made after the sewerage treatment plant is in
operation.
