CHADDS FORD TOWNSHIP SEWER AUTHORITY

MINUTES

 

                                                                   April 18, 2006

 

The 199th meeting of the Chadds Ford Township Sewer Authority was held on this date in the Chadds Ford Township building.

 

Present: Chairman Vincent Del Rossi, Vice Chairman Paul G. Linsen, Secretary Marc S. Altman, Treasurer Keith C. Klaver, and Anthony J. Cutrona.

 

Absent:  None

 

Also in attendance were John J. Mezzanotte, Jr., Esquire, Thomas R. Smith, PE of SSM, Garry Paul, CFT BOS liaison, and Sabina J. Taylor, Secretary/Treasurer.

 

The meeting was called to order at 7:00 p.m. by Chairman Del Rossi,

 

ANNOUNCEMENTS:

 

1.         March 30, 2006 – Chairman Del Rossi, Paul Linsen, Keith Klaver and Bonnie Taylor met with John Mezzanotte, Esq. to review recently enacted changes to the law concerning the calculation of tapping fees.

 

2.         April 17, 2006 – Chairman Del Rossi, Paul Linsen, Keith Klaver, Marc Altman, Anthony Cutrona and Bonnie Taylor met with Tom Smith for an informational session regarding the RRE Phase II tapping fee calculations.

                       

3.         Chairman Del Rossi told those in attendance there will be no announcement tonight of the tapping fee amount for the RRE Phase II area.  More information will be gathered for review and discussion over the next week or so.  A special meeting will be held to determine the tapping fee and adopt the Resolution setting the tapping fee. The meeting will be advertised in the paper at least three days ahead of time.

 

DVRFA LOAN REFINANCING:

Chairman Del Rossi introduced Douglass P. Rauch, the attorney who will be representing the Sewer Authority in the refinancing of the DVRFA Loan.  Mr. Rauch noted that he has worked in municipal financing for about 15 years and has been engaged by the Authority to assist in the refinancing of the DVRFA Loan.  He then presented a Resolution for consideration by the Authority.   If adopted this Resolution would authorize the Authority to borrow up to $1,000,000 to refinance the Authority’s $1,050,000 indebtedness to the Township of Chadds Ford and the payment of certain costs and expenses related to the issuance of the Note, pursuant to the terms and conditions of a proposal from Sovereign Bank, dated March 28, 2006.  Mr. Rauch explained some of the details involved in the refinancing and answered questions from the Authority members. 

 

Marc Altman motioned to adopt Resolution #15 as presented, with a correction to page 1, paragraph 5, to read “…an amount of up to One Million Dollars ($1,000,000.00)….”   Paul Linsen seconded the motion and it passed unanimously.

 

Mr. Altman gave a brief history of the DVRFA loan and the costs involved.  He also noted the terms of the Sovereign Bank proposal include an interest rate of 4.3% set for 10 years.   The interest rate will not be locked in until closing, but Mr. Altman said he expects it to remain in the neighborhood of the 4.3% quoted in the proposal.

 

MINUTES:

The minutes of the March 21, 2006 Chadds Ford Township Sewer Authority meeting were unanimously approved as presented, on a motion duly made and seconded (Klaver/Altman).

 

TREASURER’S REPORT:

The Treasurer’s Report was read.  Account balances were reported as follows:

 

            General Fund Account

            Beginning Balance                                                                  $110,778.37

            Receipts                                                                                    18,455.84

            Balance                                                                                 $129,234.21

 

PLGIT Account - ROA

            Beginning Balance                                                                      $5,904.36

            Transfer from Wachovia ROA                                       60,000.00

            Transfer from PLGIT                                                                 35,854.34                                                

                        Dividends                                                                                             135.47

                        Balance                                                                                 $101,894.17

 

Sovereign Bank – General Fund Operating Account

                        Beginning Balance – Opened new account                                            $0.00

                        Receipts – Deposit                                                                               12,196.39

                        Balance                                                                                   $12,196.39

 

PLGIT/Plus Account - Tapping Fee Account

            Beginning Balance                                                                    $33,625.39                                          

Receipts - Transfer from Wachovia                                            52,969.93                                                                          

                                         Dividends                                                                            2,297.77

                        Balance                                                                                   $88,893.09

 

ACCOUNTS PAYABLE:       

After review by the board, Keith Klaver made a motion that the Sewer Authority pay $95,307.77 (S/B $97,331.56) as detailed in the revised General Fund bill list dated March 21, 2006.  The motion was seconded by Marc Altman and passed unanimously.

 

RESOLUTION NO. 17

Resolution No. 17 being a Corporate Authorization Resolution designating Sovereign Bank as a depository for the funds of Chadds Ford Township Sewer Authority was adopted by unanimous vote on a motion by Marc Altman, seconded by Keith Klaver.

Treasurer Keith Klaver told those present that due to anticipated expenses in May and June, the uncertainty of the date for closing on the refinancing loan, and collection of tapping fees, the Township has approved a short term bridge loan to the Sewer Authority in the amount of $60.000. 

 

ACCOUNTS RECEIVABLE:

No report for this meeting.       

 

SOLICITOR’S REPORT:

Mr. Mezzanotte gave no formal report, but presented for consideration by the Board, written bylaws for the Authority and a Resolution to adopt them.  After review, Resolution No. 16 adopting bylaws of the Chadds Ford Township Sewer Authority was adopted by unanimous vote on a motion by Vincent Del Rossi, seconded by Keith Klaver.

 

Mr. Mezzanotte asked Mrs. Taylor to send a copy of Resolution No. 16 to Mr. Rauch for his information.

 

ENGINEER’S REPORT:

1.         RRE Phase II – This low-pressure sewer system project is now well underway, and the sewers are completed in the Raven Drive portion of the work.  The contractor Wexcon,

            Inc. expects to have the project completed by mid-May.  Payment Application No. 3 in the amount of $46,047.93 has been approved at this meeting.  Work is continuing on the Tapping Fee, and other issues related to the installation of the pressure sewer laterals and grinder pumps.

 

 

2.         Ridings Wastewater Treatment Plant - The monthly report for February shows the maximum daily flow was 0.0431 MGD; average daily flow 0.0339 MGD, all less than the permitted 0.080 MGD, with no permit exceedence.   The Chapter 94 Report for 2005 was completed and submitted.   Regarding insurance for the Ridings plant, it is recommended that the coverage be increased to stay current with the ENR index.  The members of the Authority agreed that Mr. Smith should be authorized to do this review and prepare a recommendation of replacement values based on his findings.

 

3.         Toll Brothers/Turner’s Mill – At meetings with Toll Brothers, a scenario is developed where flows from the development are pumped-and-hauled to the Ridings Plant system.  This practice would discontinue once the Turner’s Mill plant comes on-line and has sufficient flow to establish its own biological treatment.  Mr. Smith is working with Toll Brothers and Mr. Mezzanotte to develop the necessary pump-and-haul agreement.

           

4.         Toll Brothers - SSM is performing Inspection Services for Toll Brothers sanitary sewers, and performing other tasks to review developer submittals as authorized by the CFTSA.

 

RIDINGS WASTEWATER TREATMENT PLANT:

§         Chairman Del Rossi reported that for safety reasons two improvements have been made at the plant.  Reversing switches for the motive pumps and a Davit Crane to assist in the lifting of the decant pump have been installed. 

 

§         Responding to Chairman Del Rossi’s comments regarding the possible cause for a complaint about odor at the plant, Mr. Smith said he would check on it. 

 

§         Mr. Altman asked about the Operator’s Comment in the Monthly Operations Report relating to the potable water at the plant.  Mr. Del Rossi said he has asked the operator to see that the filters are changed regularly.

 

OLD BUSINESS:

Mr. Linsen commented on the number of people attending tonight’s meeting.  He said they were probably disappointed, as he was, that the tapping fee was not to be determined and announced at this meeting.  He further commented on the process for calculating the tapping fee under the new Act 57 and the Authority’s commitment to come up with the right number. 

 

Carol Carter, 9 Summit Drive, expressed her concern with the way sewers are planned for the township in what she feels is a piece-meal way.  She also noted that the quarterly user fee of $210 is too high.  Discussion followed regarding the process for identifying where public sewers are needed and the calculation of the tapping fees per Act 57.

 

NEW BUSINESS:

It was agreed that the annual inspection of privately owned wastewater treatment plants should take place in June.  Mr. Smith was asked to check with Dave Young, who will be doing the inspections, about possible dates for this work to be done.  

 

PUBLIC COMMENT:

§         Responding further to Mrs. Carter’s comments, Mr. Klaver said, as explained at last month’s meeting, the cost of connecting the homes in the Toll Brother’s development would not be in a tapping fee but would be included in the cost of the homes. 

 

Chairman Del Rossi noted the cost for sewer service for those properties served by the Ridings Wastewater Treatment Plant has never gone up, even though almost everything else we pay for has. 

 

Mr. Cutrona said the board has spent some time discussing the fairness issue that is going into the determination of the tapping fee for the RRE Phase II Project area.   He said Act 57 has changed the way tapping fees may be calculated and sets the maximum that may be charged for the tapping fee once you go through the calculations.  The board is trying to determine what the maximum amount that could be charged under the law is, and what the fairest amount that might be charged under the law is.  Mr. Cutrona also commented on the potential risk to the ground water supply when on site septic systems fail.  He commended those who came to tonight’s meeting and urged them to continue attending Sewer Authority meetings.    

 

§         Linda Steward, 14 Longview Road, said when the LSWSS Extension was constructed they were required to connect their property to the sewer system even though their on site septic system was brand new and functioning properly.  She said she and her husband felt that was not fair because it was not needed.

 

§         Ann Pounds, 15 Longview Road, said she had a similar situation in that the septic system on her property also was functioning properly when her property was required to connect to the public sewer.  Mrs. Pounds said the Township should consider a sewer tax. 

 

§         Responding to a question, Mr. Klaver said the tapping fee for RRE Phase I was set preceding the enactment of Act 57. 

 

§         Cora McCrabb, 3 Summit Drive, said the fees are the highest in Delaware County.  Chairman Del Rossi, said a recent rate survey done indicates that may no longer be true.  

 

§         Mariette Tobin, 190 Ridge Road, said she wanted to say publicly that the RRE Phase II construction work was excellent.  The people were very professional and friendly.  They did a very good job and Mrs. Tobin and her husband were impressed with the work.  Mrs. Tobin also said they are having a problem getting a plumber to do the work necessary for the connection of their property to the sewer line. 

 

§         Carol Carter told the board that the contractor for the LSWSS Extension Project did not compact the fill in the trench properly and because of that, her driveway needs repair.  Chairman Del Rossi said he will check on this.

 

§         Rodger Bailey, 1 Summit Drive, asked the Authority to look at the possibility of connecting some of the properties in the Longview, Summit, and Woodland area to the Toll Brothers sewer system.   He noted that a property owner could have a septic tank pumped once a month for less than the monthly sewer fees.  Mr. Bailey also said some time ago he sent a letter to the Authority requesting relief from the monthly sewer fees and he never received a response.

 

§         Mr. Smith responded to questions regarding the status of the RRE Phase II construction and the Turner’s Mill Project.

 

§         Mr. Altman said the Authority plans a full analysis of the sewer rates in the near future. 

 

§         Discussion followed regarding Sewer Authority finances and other issues.    

 

ADJOURNMENT:   

The meeting was adjourned at 9:08 p.m.  

 

Respectfully submitted,

 

 

 

 

Sabina J. Taylor, Secretary