CHADDS FORD TOWNSHIP SEWER AUTHORITY

CHADDS FORD TOWNSHIP SEWER AUTHORITY

MINUTES

August 20, 2002

The 156^th meeting of the Chadds Ford Township Sewer Authority was held on this date in the Chadds Ford Township building.

Present: James J. Murray, Chairman, Sandra L. Morgan, Vice Chairman, Paul G. Linsen, Treasurer and Jerome S. Heisler, Jr. Also in attendance were John J. Mezzanotte, Jr., Esquire, Solicitor, Angelika B. Forndran, P.E., Engineer, Deborah L. D’Elia, CFT Supervisor and Sabina J. Taylor, Secretary/Treasurer.

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

ANNOUNCEMENTS:

Chairman Murray had two announcements for tonight’s meeting.

1. On July 16, 2002 representatives of Kids First and some members of the CFTSA and the Solicitor met to resolve some outstanding issues .

2. A Route 1 feasibility study meeting for the Board has been changed to August 22, 2002 at 7:00 P.M.

PUBLIC COMMENT:

‚ Mr. Moyer, representing Raven Crest, said after discussing the Annual Wastewater

Inspection report, prepared by Spotts, Stevens and McCoy, with Dave Young, he sent a letter with his comments to Spotts, Stevens and McCoy. In response to Mr. Moyer, Angelika Forndran said that the comments relating to the West Nile virus were added to each inspection report and were not meant specifically for Raven Crest.

Regarding a note in the report about the leaching field, Mr. Moyer said that this

year’s report contains the words “due to the failure in the past...” and he would like this removed from the report. He said the field has not failed. Mr. Moyer noted that in the past, in response to a resident’s complaint, a dye test was done by Kelly Engineers. Mr. Kelly explained that the breakout was found, at that time, to be groundwater and not effluent. Mr. Heisler said, when he visited the site a few years ago, he did see evidence of problems with the leaching field caused by a broken pipe. This was corrected, but he does feel there have been periodic problems there.

After further discussion on this matter, Mr. Murray said he will send a letter to Mr. Moyer

in reply to his comments.

‚ Mr. Heisler, speaking as a citizen and not as a Board member, said he is pretty concerned

about the direction of the Authority and how it’s going. He said he has been sitting on the board for three and a half years now and, after the last meeting, is concerned about how we are developing our planning tools. Mr. Heisler said, “I think, if the Authority is not able to get a really serious dialog with the Supervisors on the Sewer Authority, there is going to be some real serious problems.” He said, “We’re sailors without a map, and, if we don’t get some type of strategy put together within the next couple of months, I think there’s going to be some real problems.” He was disheartened when he found out at, last month’s Sewer Authority meeting, that Raven Crest or Marshall Road weren’t being incorporated in some expeditious manner to be brought on line. Mr. Heisler said, “I am concerned, disheartened and sad.” He wants to put the energy and time into it, but the problem is now we don’t seem to be working as a team.

Chairman Murray noted that he and Mr. Heisler spoke about this with Mr. Shipley just prior to the opening of the last public Supervisor’s meeting. Mr. Heisler agreed and said he has not heard from Mr. Shipley and he hopes he will hear from him soon. Mr. Heisler then said, “I just wanted to go on the record with this, because I think, as we start dealing with financial matters, which we’re going to have to start dealing with soon, related to the bond, as we start dealing with other matters, there are some serious problems here and we may not have the means to handle them. I am quite concerned as a citizen, not as a Board member.”

Chairman Murray thanked Mr. Heisler for his comments and said they would be

passed on to the Supervisors through their copies of these minutes.

Mr. Kelly asked, “Could I make some comments in response to citizen Heisler?” He explained that the meeting next Thursday night is the beginning of the Route 1 Corridor Study work to be done by Spotts, Stevens and McCoy. Mr. Kelly said, “We will be participating in that meeting as Township Engineer.” This area will be included in the work being done on the Township Act 537 Plan. In addition, the Township is also looking into developing the Turner’s Mill property which has an impact on the sewage facilities, because public sewage facilities planning included the use of that property for a sewage facility. Mr. Kelly said the work is underway and he would say, by the end of the year, you should have a draft of some reports from a planning prospective and from a comprehensive sewerage prospective that will at least indicate the direction that the Township wants to take. He explained that the Township is responsible for the planning and the Sewer Authority implements the plans for the Township.

Mrs. D’Elia said a couple of the members of the Township Financial Advisory Board, of which she is a member, met to look at the finances of this Authority. They looked at the contributions and loans made to the Authority as well as the outstanding loan being administered by Michael Wolf. At a previous meeting with Mr. Wolf, he noted he was not interested in making a recommendation about what to do with our loan until the planning phase that Mr. Kelly just referred to is completed. Mrs. D’Elia said she didn’t think Mr. Heisler, citizen’s, concerns are ignored, but they are a work in progress. Mr. Heisler said he finds it very interesting that a lot of things are going on without the involvement of the Sewer Authority. Mrs. D’Elia responded that the Sewer Authority Chairman, Secretary/Treasurer and Treasurer were involved in the meeting with Mr. Wolf. Mr. Heisler said there are other things and he finds it fascinating that there’s things going on beyond the realm of the Authority and then we are going to be held responsible for them. Mr. Kelly commented that the Authority can’t be held responsible until the time they get involved.

Chairman Murray said the area of Mr. Heisler’s comments that he would support is that we have a very high cost plant that operates everyday and things wear out. He explained that we are starting to spend some big dollars on that plant and it is not equipped the way it should be if it ever does get up to the 75,000 gallons plus a day for which it is rated. The only ones that can correct that are the Supervisors, through the Act 537 Plan. Mr. Heisler said, “My comments were really meant to say about open communications. I wasn’t picking on any specific incidences.” He said his concern is the Authority is not getting information and it is a continuing problem. Mr. Heisler said, “I would really hate to have this as my business model, to be quite candid. I am sort of saddened by it because I see a lot of things going on and I hear things. It is not a good

business model or good public policy model.” Mr. Heisler also noted that, as much as he operates his business in the private sector, he also operates in the public sector in New Castle and Kent County, Delaware and Cecil County Maryland. He said, “Unless it changes we are going to have the same results we had in 1995, 96, 97 and 98 with the Sewer Authority. It’s going to be a disaster.”

Mr. Linsen commented that he hears Mr. Heisler saying two things; he laments the fact that the Authority doesn’t have a plan and that the Authority has not acted on the loan. He said it seems to him before we act on the loan, we should understand what the future plan is and what the alternatives are with the funds that are available to us. Mr. Heisler responded that one of his concerns is who is going to make that shortfall up on the loan. Mr. Linsen noted that we don’t know there will be a shortfall on the loan yet. He also reminded everyone that Michael Wolf recommended that nothing be done about the DVRFA Loan at this time.

Chairman Murray said, The Route 1 Feasibility Study is obviously the keystone of what’s going to happen.” Mr. Heisler explained that he is saddened because he feels we start and then we stop. Both Mrs. D’Elia and Mr. Kelly responded that nothing has stopped. Mr. Kelly reminded Mr. Heisler that the Sewer Authority went ahead when they commissioned SS& M to design the Ridge Road Extension.

Mr. Kelly asked if a consensus could be reached that all would agree that momentum will now build up to a point where a process is underway that will result in the development of a comprehensive plan. As far as the Route 1 Corridor is concerned, that will result in the formation of a plan, and then the Sewer Authority can begin to implement that plan in accordance with whatever recommendations are adopted by the township.

MINUTES:

The minutes of the July 16, 2002 meeting were approved on a motion by Jerome S. Heisler, seconded by Sandra L. Morgan.

TREASURER’S REPORT:

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

General Fund Account

Beginning Balance $76,351.95

Receipts 45,157.33

Balance $121,509.28

PLGIT/Plus Account - Tapping Fee Account

Beginning Balance $381,681.53

Receipts 59,754.50

Balance $441,436.03

Ridings Operating Account - First Union

Beginning Balance $1,000.00

Receipts 8,568.06

Balance $9,568.06

PLGIT Account - ROA

Beginning Balance $41,785.21

Transfer from First Union ROA 8,568.06

Dividends for July 51.29

Balance $50,404.56

Disciascio Escrow Account

Beginning Balance $15,013.51

Interest 21.94

Balance $15,035.45

In response to a question from Chairman Murray, Mrs. Morgan explained that the $1,500 paid by Mr. and Mrs. Herrmann was for the cost to provide an additional lateral connection for their property at 27 Longview Road. There is the possibility that this property could be subdivided in the future, and when a dwelling is constructed, the owner of the property would receive a credit of $1,500 toward the tapping fee at that time.

Mrs. Taylor reported on:

1. DVRFA Loan Disbursements Request No. 46 - This request in the amount of $3,771.30 was presented for consideration. This request covers payments to Bradford Engineering, Davey Tree Experts and Irwin Landscaping.

On a motion by Jerome Heisler, seconded by Paul Linsen, DVRFA Loan Disbursement Request No. 46 was approved by unanimous vote. The document was then signed as required.

2. Invoice from Elko, Fischer and Cunnane for 2000 Audit -An invoice in the amount of $4,900 for the year 2000 audit has been received but was not included in the list of invoices to be considered for payment at tonight’s meeting because copies of the audit have not been received.

3. Accounts Payable - Mrs. Taylor asked if anyone knew of any outstanding invoices for legal or engineering expenses for either the Brandywine Conservancy holding tank agreement or the St. Cornelius holding tank agreement. Expenses relating to the preparation of these two agreements will be billed to the developers for reimbursement to the Sewer Authority.

4. CWA - Another letter has been sent to Mr. Krupiak requesting payment for the costs incurred by the Sewer Authority for damage to the sewer line done by Chester Water Authority. There has been no response to date.

ACCOUNTS RECEIVABLE:

Chairman Murray asked about the nonresidential user fee of $3,904.91 listed in the Accounts Receivable. Following discussion regarding this account, the Sewer Authority members agreed that Mr. Mezzanotte, should following the established procedure of notifying the property owners of the required escrow payment for delinquent accounts, of the intent to file a lien against the property and to have CWA shut off water service to the building.

ACCOUNTS PAYABLE:

Invoices totaling $9,223.97 were unanimously approved for payment from the General Fund, as presented on a motion by Paul Linsen, seconded by Jerome Heisler.

On a motion by Sandra Morgan, seconded by Paul Linsen, invoices totaling $6,225.28 were unanimously approved for payment from the Ridings Operating Account.

SOLICITOR’S REPORT:

Mr. Mezzanotte reported on the following:

1. Ernst and White Properties - As requested, correspondence has been sent to these property owners regarding the amount of tapping fee owed. No response has been received to date.

2. Brandywine Summit Nonresidential Users - The agreements have been finalized and were sent out in final form in mid-July. A Form of Assignment, acceptable to the Sewer Authority, was also sent by which they could transfer excess capacity they hold to other nonresidential users.

3. Kassab/Ownership of Capacity - As noted at last month’s meeting, the ownership of the capacity has been sorted out. Since that meeting a Form of Assignment has been approved that would permit the approximately 22.5 edu of capacity to be conveyed to LAPA I when they acquire the property.

4. Metro/UTC, Ltd. - In response to a request to look over the closing documents, Mr. Mezzanotte noted that Metro needed to supply some additional information to close out the contract. He has asked for an adjustment on their Contractor’s Release to make sure the township is fully covered. There is also some restoration work that is still outstanding.

Mrs. D’Elia asked about the property owners who attended last month’s Board of Supervisors meeting with complaints regarding the driveway restoration work. Mr. Heisler said he had gone to visit the sites and he found the driveway restorations acceptable. He suggested an improvement could be made if, when the township resurfaces the road, they would mill up to the joint in the driveway in question and make a nice clean butt joint and then it would look fine. Chairman Murray also visited the property and agreed with Mr. Heisler. Regarding the bush that was damaged, Chairman Murray said he believes something can be worked out. He also noted that he agreed with Mr. Fazler’s opinion that the damage to the sidewalk and bush was cause by Chester Water Authority due to the location of the damage, which is where the water line was installed not the sewer line.

Mr. Kelly agreed to meet with Mr. Heisler at the three properties with driveway restoration complaints to see if they could be improved as part of the township road resurfacing.

5. Thomas Lawrie - Mr. Mezzanotte received an inquiry from Mr. Lawrie, who owns property behind the Nissan dealer on Route 202, regarding the possibility that sewage capacity would be available to develop the property as one acre lots. Mr. Lawrie asked if he could obtain a listing of those holding capacity that might be for sale.

Mr. Kelly gave a brief recent history of sewerage issues as they relate to Concordville Nissan and Mr. Lawrie’s property.

6. St. Cornelius Church Holding Tank Agreement - Chairman Murray has asked Mr. Mezzanotte to prepare a Holding Tank Agreement for St. Cornelius Church. Chairman Murray explained some of the details of the Agreement. He said the tanks will be used as holding tanks until the public sewer line is available, which is expected to be by the end of 2002. At that time, the tanks will become part of the sewer system for the property. Chairman Murray noted that the discharge quality will comply with the Sewer Authority standards as established previously. He also noted the frequency, rate and location of discharges.

Discussion followed regarding suggested changes to the draft agreement.

ENGINEERS REPORT:

Mrs. Morgan reported on:

BSSE Project - The status of this project was discussed previously under the Solicitor’s Report.

Mr. Heisler asked if the some of the items he lent to the Sewer Authority several years ago could be returned. Mrs. Morgan will check on the items.

Ms. Forndran distributed printed copies of her Engineer’s report for this meeting.

Ridge Road Extension Project -Ms. Forndran reviewed the status of required permits. She also discussed the recent changes to the Engineer’s Cost Opinion sheet. Chairman Murray noted the Engineer’s Cost Opinion of $220,630 includes unclassified soils, which means the contractor accounts for rock. Chairman Murray said he has asked Mr. Kelly to contact Enviroscan to map rock from Raven Crest and St. Cornelius Church property to the Ridings Plant. He noted Enviroscan had been used for the BSSE Project and they were remarkably accurate. A motion was made to accept a proposal from Enviroscan to do a rock survey of Ridge Road from Raven Crest and St. Cornelius Church to the Ridings Plant at a cost of approximately $4,000. The motion was seconded and passed by a unanimous vote.

Chairman Murray asked Ms. Forndran to check on the possible need of some restoration to the access road for the Smithbridge Road Pump Station.

OTHER MATTERS:

1. Tapping Fee Partial Payments - Chairman Murray said there are approximately five residential property owners who may not qualify for any type of financing to pay their tapping fee.

A motion was made and seconded to extend the time limit for paying the tapping fee to those property owners who have not yet paid the tapping fee due to the inability to obtain financing. A lien will be placed on the property and in order for property owners to qualify for this time extension they must provide two forms of financing denial from recognized financial institutions. It is suggested that one of these be the Delaware County Housing Rehabilitation Program. The motion made and seconded, passed unanimously. Mr. Mezzanotte was asked to prepare the lien documents that will be required.

2. St. Cornelius Church Holding Tank Agreement - After discussion, a motion was made to approve the St. Cornelius Church Holding Tank Agreement subject to finalization of all details by SSM, Kelly Engineers and the CFT Board of Supervisors. The motion was seconded and passed unanimously.

3. Ridge Road Extension - Mr. Kelly’s suggested that SSM be authorized to proceed with preparing plans, specs and bidding documents for this project. Concerns were expressed regarding the impact the results of the rock survey will have on the plans, etc. A motion was made and seconded to authorize SSM to begin the documentation part of the bidding and specification process, excluding the information related to any rock study which will be forthcoming. When that information is available, it can be included. Chairman Murray reminded Ms. Forndran that he did not want SSM to duplicate the efforts of St. Cornelius Church. After further discussion, the motion made and seconded, passed unanimously.

ADJOURNMENT:

The meeting was adjourned at 10:00 p.m.

Respectfully submitted,

Sabina J. Taylor, Secretary