Vote on planned sewer system is planned July 10

NORTH CANAAN — Either way, it’s a big decision. Should the Canaan Fire District be extended to include a westerly portion of town, encompassing most of Honey Hill and Green Acres?

Residents and property owners in the affected area will decide on Saturday, July 10, at a meeting at North Canaan Elementary School that begins at 10 a.m. A two-thirds majority of those in attendance is required for a decision.

A vote in favor will send the proposal to a future vote by all those within the existing fire district to determine if the district should be extended.

This is not the first time fire district officials have proposed the expansion, citing a need caused by a large number of failing septic systems, and a topography that makes new septics costly. Part of the project cost will be borne by property owners.

Fire District Warden Anthony Nania made available to The Journal a lengthy letter sent earlier this week to those affected,  with the answers to all questions that have come up or that he anticipates could come up.

While questions will be entertained at the upcoming meeting, the letter, and this condensed version, are aimed at preparing voters in advance.

Q. Why is the district proposing to build this sewer now?

A. Need; the one-time availability of federal Stimulus Program funds that will pay for about half of the cost; and a construction climate that should produce competitive bidding.

Q. Whose property is proposed to be served?

A. Most of the lots in Green Acres and Honey Hill. (A specific list is available.)

Q. How much will the new sewer cost?

A. Adjustments to the original plan, including re-engineering and the exclusion of some properties, has reduced the estimate to $6.8 million.

Q. Won’t all the rock in Green Acres and Honey Hill increase the cost?

A. No. Estimates are on the high side, with funds set aside for dealing with ledge and unexpected conditions. Contingency funds will be set aside for a worst-case scenario, and a final cost reduction will be extended to property owners.

Q. Who pays for the estimated $3.4-million balance?

A. All net costs are borne by property owners in the area to be served. Current fire district residents will not see a tax or usage fee increase because of the project.

Q. Why should property owners with newer septic systems pay for sewer?

A. All septics will eventually fail, and the cost to replace will only increase over time. Favorable rates, no down payment and 30-year financing, with little or no cost at conversion to sewer, make this a financially feasible approach to preparing for that eventuality.

Q. Is everyone required to connect to the sewer?

A. Only those properties where an existing septic has failed.

Q. How much does it actually cost to connect?

A. There is the cost of installing a lateral pipe from the main sewer line to a building. Savings can be significant if that work is done by the contractor performing the main installation. It is up to property owners to make those arrangements.

Also, there is a $1,000 connection fee. The fee can be included in the financed assessment if connection is made when the sewer is installed.

Q. How much will assessments be?

A. Assessments are determined by a formula that considers lot size, value and type of use. No two assessments will be the same. Based on the most recent engineering, the range will be from $6,500 to $19,000 per lot, with an average of $16,300.

Q. What about payments?

A. The assessment becomes due when the project is complete, projected for spring 2012. Those who cannot, or who choose not to pay in full may finance on the same terms as the district. At the current interest rate of just over 4 percent, a $16,300-assessment financed for 30 years would be billed at $79 per month.

Payments can be deferred on principal for qualified elderly and disabled homeowners, and in certain hardship cases.

Q. Are there any other costs in connection with the assessment?

A. Everyone in the district, whether connected to the sewer or not, pays a tax, currently at 1.75 mills. Fire District tax revenues pay mainly for maintenance of sidewalks, streetlights and fire hydrants. Since the number of taxable properties will increase from 559 to about 760, with few added assets to maintain, the mill rate is expected to decrease.

The mill rate determines property taxes in Connecticut towns. A mill represents $1 in tax for every $1,000 of assessed property value.  A 1.75-mill tax rate would translate into a tax bill of $175 for the owner of a home assessed at $100,000.

Those who connect will be billed each December for a usage fee. It is currently $235 but will decrease if new users come on board.

Q. Will financing the assessment create a property lien?

A. State law requires the same kind of lien as a property tax assessment, which is released when a tax bill is paid. The lien allows the district the same kind of remedies the town can take for unpaid taxes.

Q. Will town property taxes increase when a property is connected to the sewer?

A. No distinction is made between septic and sewer when valuing a property.

Q. Will property market values rise with sewer connection?

A. No studies are available, but real estate agents and appraisers commonly report higher sale prices for properties with sewer service.

Q. Will access to municipal sewer enable building on lots too small to be developed with septic under current zoning regulations?

A. Yes. Lots with public water need 40,000 square feet of buildable area with septic, and 21,780 square feet with sewer. Lots without public water need at least 60,000 square feet with septic and 30,000 square feet with sewer.

Q. Are there other advantages or disadvantages of a municipal sewer that should be considered?

A. “Peace of mind,� the letter said. “It’s like putting a new roof on your house that you’ll never have to worry about again.�

Q. Why should those who won’t immediately benefit vote for sewer?

A. It makes long-term economic sense for everyone. Everyone is part of a community, and the proposed project is the best way to solve a problem for many neighbors.

Q. How will the meeting and vote be conducted?

A. The meeting, held at the school to allow for sufficient space, is open to the general public. Those intending to vote should plan to come beginning at 9:30 a.m. to be qualified against voting registration records and to receive a ballot for electronic scanning.

Voters who qualify are those registered in North Canaan and who reside at a property proposed to be added to the district or any U.S citizen 18 years or older who owns property proposed to be added to the district and valued at $1,000 or more per the most recent grand list.

Valid photo identification, such as a driver’s license and passport, will be checked.

No absentee voting is authorized by statute and each person gets only one vote, regardless of how many ways they may qualify.

Discussion on a motion will end at the determination of the moderator, or by a two-thirds vote. Polls will remain open until all votes have been cast. The North Canaan registrars will determine the final voting results.

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