Raftelis Financial Consultants has been contracted to develop the borough’s stormwater utility fee.
The borough council Thursday approved a contract with the North Carolina-based company to develop the fee structure at a cost not to exceed $79,500.
Raftelis is the same company that recently completed a study of the borough’s stormwater management system. The study recommended that the borough increase its spending on the system from $400,000 to $1.5 million annually to deal with aging infrastructure, flooding caused by urbanization and pipes that are too small or have reached the end of their useful life.
There’s also a need for additional operational and maintenance funding, particularly for equipment needs and operations.
A stormwater utility fee is based on the amount of impervious surface on a borough. Last week at the council’s workshop meeting, Public Works Director Mark Malarich said an analysis that is more detailed than the one used in the study would be needed to create the fee structure.
The fee structure would also include related policies as well as an appeal process and remediation. The council may also explore the option for a rebate system that rewards property owners who made improvements to their property to reduce stormwater runoff.
The borough also approved a bond issue Thursday that will partially finance projects in the borough’s capital improvements plan and refinance outstanding debt.
Series A bonds in the amount of $9.57 million will be used to finance equipment for the borough administration, fire company and police as well as improvements to the Pomfret Street parking garage, parking lots and meters. The largest portion of the bond funding will go to a rehabilitation project on the sewer system and improvements to the water distribution system.
The 25-year bonds carry a 2.82 percent interest rate.
Series B bonds in the amount of $14.76 million will be used to refinance outstanding bank notes from 2012, 2013 and 2014 that carried variable interest rates. The new bond issue came in at 1.77 percent interest which represents a gross savings of $628,485 to the borough.