INFORMATION REGARDING PROPOSED WATER DISTRICT NO. 3

INTRODUCTION

After years of discussion, the New Baltimore Town Board conducted a thorough analysis to develop a proposal to bring public water to the hamlet of New Baltimore and adjacent areas.  After two years of effort, a proposal was presented at an advertised public meeting on February 24, 2004, and a formal Public Hearing was advertised and held on March 30, 2004.  Following these two public meetings, and with significant public support, the Town Board adopted an Order to establish Water District No. 3 in the Town of New Baltimore, subject to a referendum of the affected property owners.  The purpose of the referendum to be held on June 15, 2004 is to allow the affected property owners in the proposed water district to have the final decision on whether to go forward with a public water system in New Baltimore.   At the start of this project, the Town Board unanimously agreed that in its continuing effort to provide good government, the residents of the proposed water district would be constantly informed and updated. We believe that the Town Board’s commitment to open government is being fulfilled through its decision to put this proposal to a mandatory referendum.  The Town Board has made every effort possible to provide as much information as possible regarding this proposal.  A complete fact sheet was prepared and distributed at both public meetings, and continues to be available at the New Baltimore Post Office and the New Baltimore Town Hall.  This handout briefly summarizes the most common questions and answers regarding the proposed New Baltimore Water District No. 3.

Where is the proposed Water District and where will public water be provided ?

The proposed New Baltimore Water District No. 3 includes the current Sewer District; all property with road frontage on New Baltimore Road; all property with road frontage on Birchwood Lane, all property with road frontage on the upper (western) portion of Tower Road; all property with road frontage on Route 9W between Chestnut Lawn Cemetery and State Route 144; all property on Carhart Road; certain parcels of property along State Route 144 between Route 9W and the CSX Rail Tracks; two large parcels of vacant property south and west of the Sewer District known as the former Brundage property and the former Armstrong Farm (west of County Route 61).

Public water mains will allow for public water to be provided to all property within the Sewer District; property with road frontage on New Baltimore Road between Gill Road to Route 9W, property with road frontage on the upper (western) portion of Tower Road; property with road frontage on Birchwood Lane.

What is the source of water for this project ?

The source of water for the proposed Water District will be the Village of Ravena water supply.  The Town Board has evaluated other options, including the construction of a reservoir, using the Hudson River and municipal wells.  All of these other options were ruled out after extensive investigation.  The Town and its engineers concluded that a reservoir would be too expensive to build, would have problems in dry weather, and may not pass approval by the State.  The Hudson River in New Baltimore cannot be used for drinking water because the State will not grant approval for its use.  The Town conducted a number of tests for wells to serve the Water District, but the water flow in the areas tested was insufficient for the amount of water needed to serve the Water District.  The Town Board has conducted lengthy negotiations with the Village of Ravena for the purchase of their water.  The Village has given the Town a “Letter of Intent” to sell water to New Baltimore and has sufficient capacity to meet the needs of the proposed Water District, including projected future growth.

How much will this project cost ?

The Town’s engineering firm has estimated the total cost of the project at $4,265,000.  This estimated cost includes a large amount for any unexpected costs that come up during the project.  In addition, the estimates include an allowance for 3 times the amount of rock that was excavated during the installation of public sewers in the 1980s.  If the project comes in under budget, the Town will pass along any savings in lower debt service charges to the property owners in the Water District.  This maximum estimated cost cannot be increased without the Town Board first holding a public hearing to fully disclose the reason for any increases.  Upon petition, any increase in this maximum cost would be subject to another referendum. 

Is the Town receiving any financial assistance for this project ?

The Town Board has researched and applied for all available funding sources, state and federal, for this project.  The Town has received a zero interest loan over 30 years for the entire cost of the project.  This is equal to the Town having received a $1,800,000 grant towards the project cost.  The Town continues to seek other financing, particularly grants to extend water lines along Route 9W to promote commercial development along the Route 9W Corridor.

How much will property owners have to pay each year ?

The cost to each property owner will depend on whether there is a water line accessible to the property, whether there is a home on the property, and whether the home is hooked up to the water system.  All property owners in the water district will be charged an annual debt service fee.  For one family homes on streets with water lines, this cost will be $528 per year.  Vacant land without homes (over 0.20 acres) on streets with water lines will be charged $264 per year up to 5 acres, and an additional $5.28 per acre over 5 acres.  Businesses with access to water lines will be charged debt service in accordance with estimated usage.  All properties that do not have access to water lines will be charged debt service of $2.64 per year. 

Homes that hook up to the water system will also pay for water usage.  The Town Board has negotiated a rate of $3.45 per thousand gallons for the purchase of water from the Village of Ravena.  In addition to this cost, the Town is estimating some overhead costs, that will result in a total estimated usage charge of $3.64 per thousand gallons used.  For the average one family home with 2 adults and 2 children, the estimated annual use is 50,000 gallons, which means an annual usage charge of $182.00.  Therefore, the total estimated annual cost for an average one family home, including both debt service and usage, is $710.00.

Do all homes have to be hooked up the water system ?

No.  Hooking up will be optional.  The water purchase agreement with Ravena provides that the Water District will only be charged based on actual usage.  Therefore, one owner’s decision not to hook up will not affect the cost to homes that do.  Homes that do not hook up to the water system will still have to pay annual debt service.

How close to my home will the Town run the water mains?

Most water mains will be run along the streets.  Each property owner that decides to hook up to the water system will have to run the water line connection (probably a ¾ inch copper line) from the home to the edge of the street, where there will be a place to connect to the public water system.

Who pays for my home to be hooked up, and how much will it cost ?

The property owner will have to pay for the cost of hooking up to the water system.  Because properties differ in the distance between the home and the proposed water main, and how easy or difficult it is to dig a ditch for the water line, it is hard to make an estimate of cost.  The Town will provide water meters as part of the project cost, and these meters will be used to measure usage.  The Town has found a program administered by Catskill Mountain Housing Corporation that provides 100% funding for hook-ups to low income families; the income limits vary with the number of people in the household.  In addition, the Town Board will continue to seek other financial assistance, and bulk discounts from contractors to minimize the hook-up costs as much as possible.

What about the water purchase agreement with Ravena, how long is it , can rates be increased, and what about emergency water conservation restrictions ?

The water purchase contract with the Village of Ravena will last for a minimum of 30 years.  Water rates can only be increased to New Baltimore if water rates are increased in the Village of Ravena.  Historically, water rates have been relatively stable in the Village of Ravena.  During dry summers, if the Village of Ravena has water restrictions in Ravena, New Baltimore will have to follow these restrictions as well.  Usually, these restrictions cover the use of water outside of the home (lawn watering, car washing, etc.).  This conservation of water during a stretch of dry weather is familiar to many who have low to moderate producing wells.

Is there additional information available about this project ?

There is an engineering report available for public review at the New Baltimore Town Hall.  Other questions regarding the project can be addressed to Supervisor David Louis (756-9550) or Councilwoman Arlene McKeon (756-6653), who are the members of the Town Board’s Public Water Committee.

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