Water and Sewer 2/17/26

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Water and Sewer Minutes 02-17-26 217 KB

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Town of Richmond

Meeting of Water and Sewer Commission

Minutes of February 17, 2026

Members Present: Erin Farr, Bard Hill, Greg Rabideau, David Sander, Morgan Wolaver

Members Absent: Erin Farr arrived at 5:05 PM and David Sander arrived at 5:19 PM

Staff Present: Town Manager Josh Arneson; Duncan Wardwell, Deputy Town Manager; Steve Cote, Water Resources Superintendent

 

Others Present: The meeting was recorded for MMCTV, 14693373003, 18022822887, Aidan Short, Heather Hunter, Jon Olin, Kirsten DiPietro-Worden 

MMCTV Video:  https://youtu.be/wN5oVX3Qp5E?si=_BJQrV-tQBSrxER- 

Call to Order: 6:00 pm

Welcome: Wolaver

Public Comment: None

 

Additions or Deletions to the Agenda: None

Approval of Minutes, Warrants and Purchase Orders

Minutes:

Hill moved to approve the minutes of February 2, 2026.  Rabideau seconded. 

Roll Call Vote: 
Hill, Rabideau, Wolaver in favor. Farr and Sander absent.  Motion approved.

Purchase Orders: None

Warrants: 

Hill moved to approve the Warrants as presented.  Rabideau seconded.

Roll Call Vote: 
Hill, Rabideau, Wolaver in favor. Farr and Sander absent.  Motion approved.

Items for Presentation or Discussion with those present

Follow up on funding alternatives for the wastewater treatment facility 20-year upgrade
Timestamp: 0:05
https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a01_Rate_Increases_for_Repayment_Alternatives.xlsx 

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a02_Rate_Increases_for_Repayment_Alternatives_including_Commercial_Rates.xlsx 

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a03_User_Rate_Analysis_-_V5_-_Alt_A.xlsx

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a04_User_Rate_Analysis_-_V5_-_Alt_B.xlsx

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a05_User_Rate_Analysis_-_V5_-_Alt_C.xlsx

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a06_User_Rate_Analysis_-_V5_-_Alt_D1.xlsx
“
https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a07_User_Rate_Analysis_-_V5_-_Alt_D2.xlsx

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a08_User_Rate_Analysis_-_V5_-_Alt_E1.xlsx

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a09_User_Rate_Analysis_-_V5_-_Alt_E2.xlsx

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a10_Notes_on_1__Option_Tax_Alternative.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4a11_User_Rate_Analysis_-_V6_1__Option_Tax.xlsx

Short reviewed the financial models to help project methods for repaying of the treatment facility upgrade loan (see packet links).  Olin stated that the biggest change in the model from last time is they added a Local Options Tax as a potential revenue source.  Arneson reviewed Richmond’s total sales at around $39 million with gross sales around $150 million.  If businesses like Milton Cat or Jay Hutchins do work outside of Richmond, the Local Option Tax does not apply.  There are still a couple of questions about the Local Options Tax submitted to the State. Olin estimated that the $332,000 for Local Option Tax seems to be in the ballpark compared to other communities.  

Short illustrated the spreadsheet can adjust the Local Option Tax to provide bottom line results for the total projected value of Reserve funds.  Short also illustrated how the spreadsheet can change the User Rate increases.  Olin illustrated other variables like the number of new users.  Short showed other variables like the years of the bond term repayment and septage receiving volume to run 7-9 different scenarios.  The goal is that the Reserve value stays above zero for the entire duration of the loan without holding too much in Reserves.  Olin pointed out this model can also help consider future capital expenses for replacement.   

Short confirmed that Richmond can accept more septage if the receiving and the dewatering equipment is upgraded.  The model is currently projecting a continuation of the septage from the previous years.  Even though there's capacity at Richmond, that is not going to double the volume that's coming into the facility.  Cote summarized that the price of a four-channel press is basically the same as a two-channel press.  Short stated that they are projecting a slightly higher inflation rate for septage receiving that the full market.  Arneson illustrated that if they started receiving a lot more accepted revenue then it would go to Unassigned funds which could go towards the next budget to pay down what is needed from rate increases.  Olin confirmed that the Local Options Tax can be split into portions for different projects approved by the Selectboard.  

DiPietro-Worden illustrated how they can help with the messaging and public tours that might affect the treatment performance and violations on discharge permits.  Olin stated that doing emergency repairs which are more expensive over time.  DiPietro-Worden stated that there are other grant opportunities they are exploring.  


Consideration of approving Step II agreement with Hoyle Tanner for Wastewater Treatment Facility 20 year study
Timestamp: 1:09
https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4b_EJCDC_Agreement_-_Richmond_WWTF_Upgrade_Step_II_-_2025-10-30__1_.pdf

Arneson stated that the Step II step engineering agreement for the final design for the 20-year study has a total cost of $869,844.  This will be wrapped up into the CWSRF loan that provides financing for all the planning, engineering and construction.

Farr moved to approve the Step II agreement with Hoyle Tanner for the 20-year study up to $70,000 towards engineering until the State approval comes through.   Sander seconded.
Roll Call Vote: Farr, Hill, Rabideau, Sander, Wolaver in favor. Motion approved.

Update on Zenner customer online water usage accounts
Timestamp: 1:14

Cote stated that it is getting better.  Arneson confirmed how he and Cote provided a list of things that they noticed were wrong.  They had a follow-up meeting, and it looked pretty good.  Arneson stated that there are some errors with daily data that he will follow up on in the next few days.  Cote observed how the portal does not include the account number or customer address.  Cote requested that the date be listed on the customer portal when they click on the bar chart daily usage.  Several users have multiple accounts.  Farr suggested that the customer should be able to name different accounts like with Green Mountain Power.  Hill stated that it is ideal to have both account number and address somewhere listed.  Cote confirmed that the meter number is the only thing listed and he wants the account number and address included.       

Review of January 2026 water data
Timestamp: 1:15
https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4d_Monthly_Water_Report_January_2026_2.pdf

Farr stated that she loved the new graphs that showed the water data.  


Update on easement obtainment for the Tilden Ave., Bridge St., and Cochran Rd. Waterline Replacement Project
Timestamp: 1:20

Arneson reviewed that they only need one more easement on the corner of Tilden Ave.  The Property Transfer Tax Returns have complete information for 11 of the 21 easements.  There was a pre-bid meeting for this project that had a good turnout of contractors.


Discussion of material for water service lines that will be replaced in the Tilden Ave., Bridge St., and Cochran Rd. Waterline Replacement Project
Timestamp: 1:23

Cote reviewed that he wants to stay with copper lines for all of the small services of 1-inch and 3/4-inch diameter.  Any 2-inch copper is tough to use and he doesn’t see a problem with a few 2-inch lines being the newer plastic pipe which is rigid and strong.  Cote confirmed that working with 2-inch copper in a trench is not functional for the contractor and most of the smaller lines are copper.    


Superintendent’s Report
Timestamp: 1:29

Cote stated that the new flocculator has been installed. The pump wiring is going to be $15,000 from the wiring and electrician.  They only have one pump now but will eventually have two pumps.  Cote reviewed that the water has been great and they have shoveled out the fire hydrants a few times this winter.  Cote stated that a brass pipe in the digester cracked.  Next summer, they're going to remove the pipe and get rid of it, so it's not an issue
 

Review of Second Quarter FY26 Financials
Timestamp: TABLED
https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4h1_FY26_QTR_2_Budget_Status_Water_02-02-26.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4h2_FY26_QTR_2_Budget_Status_Wastewater_02-02-26.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4h3_FY26_QTR_2_Water_Sewer_Septage_Financials.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4h4_FY26_QTR_2_Debt_Schedule.xlsx


Presentation of FY25 Financial Audit
Timestamp: 1:36
https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4i01_TOWN_OF_RICHMOND-FY25_TOWN_OF_RICHMOND_PRESENTATION__1_.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4i1_2025_Town_of_Richmond_Vermont_Audit_report.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4i2_2025_Town_of_Richmond_Vermont_Management_Letter.pdf

https://www.richmondvt.gov/fileadmin/files/Water_Sewer_Commission/Meetings/2026/02/4i3_2025_Town_of_Richmond_Vermont_CTG_SAS_114_Letter.pdf

Hunter presented how the auditors look at the Town’s responsibilities for designing and implementing the internal control environment that also includes understanding and utilizing software and how the system works.  Hunter stated that there were no disagreements with management that would impact the audit report.  Hunter summarized how it is an unqualified audit opinion, the highest audit opinion. Hunter reviewed the Water and Sewer fund balances from the packet.  Hunter summarized that there were no comments for improvements from the single audit standpoint.  It really shows how well your staff is doing in putting together your financial information and preparing for the audits.  Bona stated that this is the first time with no findings or managers notes.  


Discuss Items for Next Agenda:

-Budget
-Septage Rates 

-FY26 2^nd Quarter Financials


Adjournment

Hill moved to adjourn.   Sander seconded.

Roll Call Vote: Farr, Hill, Sander, Rabideau, Wolaver in favor.  Motion approved.

Meeting adjourned at: 6:53 PM

Chat file from Zoom: None