1. SEWER DEPARTMENT BUDGET WORKSHOP
FY2019/20 RECOMMENDED BUDGET
March 14, 2019

2. SEWER DEPARTMENT FY2019/20 Recommended Budget
Plant Effluent Comparison
Performance Before and After the
Comprehensive WWTP Upgrade
Flow (MGD)
TSS (mg/l)
BOD5 (mg/l)
T-Nitrogen (lbs/day)
T-Phosphorus (lbs/day)
Purchase\Sell Nitrogen Credits
2010 Monthly Average
6.1 5
2.8
860 86
$160,000.00
2015 Monthly Average
5.3
2.5
293 51
$9,900.00
2016 Monthly Average
4.9
1.25
1.5
176
2.9
$67,209.00
2017 Monthly Average
5.03
1.4
1.7
151
7.7
$25,524.00
2018 Monthly Average
6.08
1.9
267
8.83
$8,079.60
Permit Limit 16 30
312
13.21

3. SEWER DEPARTMENT FY2019/20 Recommended Budget Sewer Fund Summary
Total Recommended Expenditures - $9,674,482
The net decrease expenditures totals $8,654
(-0.1%) below FY2018/19 Budget
Operating expenditures increased by $163,120, or 3.3%,
Non-operating expenses decreased by $171,774 or
-3.6%, which is almost entirely due to reclassifying
short-term note paydowns as a non-budgetary
accounting transaction

4. SEWER DEPARTMENT FY2019/20 Recommended Budget Expenditure Summary
Major Expense Overview
Personal Services and Employee Benefits
increased $96,048 (3.1%)
Purchased Services and Supplies increased $67,072 (3.7%)
Utilities increased $76,944
Chemicals decreased $35,100
Sewer Line and Manhole Maintenance increased $8,738
Sewer Flow to Other Towns increased $5,520
Inter-fund Transfers increased $116,896 (9.6%)
Due to an increase in capital budget spending $70,000 and transfer to MISP $32,355
Debt Service decreased - $358,670 (-10.3%)

5. Recommended transfer to Sewer Reserve $475,000
SEWER DEPARTMENT FY2019/20 Recommended Budget Transfer to Reserve Summary
Recommended transfer to Sewer Reserve $475,000
Capital List Cost
Meters – Annual purchase $ 50,000
Annual purchase for replacement meters and MXU’s (sewer portion)
Jet Vac Truck Replacement $230,000
Replacement of a 2008 Jet Vac in FY20 second of two installments
Aeration Blower Service Plan $ 75,000
Preventative maintenance program for four HIS turbo blowers
Laboratory Cabinetry $ 25,000
Spilt with Water Fund
Vehicle Replacement – Engineering $ 10,000
Video Truck Replacement $ 65,000
First of two installments
Oversized Pipe $ 20,000

6. Sanitary Sewer Improvement Program (SSIP) Total Cost
SEWER DEPARTMENT FY2019/20 Recommended Budget Note-Funded Capital Projects
Sanitary Sewer Improvement Program (SSIP) Total Cost
Infrastructure Improvements $600,000
For sewer pipe rehabilitation and/or replacement
In general, replacement projects target areas that contribute large amounts of Inflow and Infiltration (I/I) to the sanitary collection system or areas where problems have been known to exist
Work accomplished through previous SSIP appropriations have resulted in significant improvements to the sanitary collection system

7. SEWER DEPARTMENT FY2019/20 Recommended Budget Note-Funded Capital Projects
Infrastructure Improvements Total Cost
Infrastructure Improvements $600,000
For sewer pipe rehabilitation and/or replacement in conjunction with Public Works Projects
In general, replacement projects targets areas not necessarily a priority based on the SSES however old enough to warrant the improvements
These improvement projects continue our efforts to coordinate with Public Works in order to provide a comprehensive approach to roadway reconstruction

8. SEWER DEPARTMENT FY2019/20 Recommended Budget Revenue Summary
Total Recommended Revenue - $9,384,592
Revenue from regular sewer service charges are estimated to be $7,077,332 (This reflects a 2.0% rate adjustment)
Revenues derived from Eighth Utilities District based on a formula in the agreement and estimated to be $1,594,181 ≈ $4.18/HCF
Revenues derived from Bolton Lakes Regional Sewer are estimated to be $59,939
Water Department use fee $438,500
Nitrogen Credits of $15,000
Miscellaneous revenue $299,640
The use of Retained Earning in the amount of $289,890 is necessary to meet our Recommended Expenditures
The FY20 Budget maintains a level of working capital equal to 180 days of operating expense
The reason for the decrease is based on the formula for calculating the sewer rate. The updated amount of sewer mains based on GIS data and the mix of capital projects drive the decrease in rates. Basically the more capital spent on the Town’s collection system can cause a reduction in the rate since it is not being used by the District.

9. SEWER DEPARTMENT FY2019/20 Recommended Budget
Sewer Rate Increase Assumed in Model:

10. SEWER DEPARTMENT FY2019/20 Recommended Budget
Sewer Rate Increase Assumed in Model:

11. SEWER DEPARTMENT FY2019/20 Recommended Budget Value Comparison
Sewer use cost is based on average use of 2,200 cubic feet/per quarter
Current usage rate is $5.11/HCF (Hundred Cubic Feet)
Manchester’s average sewer use bill is currently $37.47 per month ($ per quarter) or $ per year
Proposed sewer usage rate is $5.21HCF
A 2.0% rate adjustment would increase the average sewer bill by $0.75 per month ($2.25/quarter) or $8.99 per year
That equals ≈ 0.709¢ for every gallon of wastewater a customer discharges (equivalent to about 1.12¢ per flush)

12. SEWER DEPARTMENT FY2019/20 Recommended Budget
*In addition to the ad valorem tax to the member town
Bolton Lakes’ cost does not include their assessment for installation of the sewer system
Vernon’s costs do not include capital costs as they are obtained from the general fund

13. SEWER DEPARTMENT FY2019/20 Recommended Budget
Rate Comparison
Location
Equalized rate
Based on unit cost, surcharges and other applicable fees
Quarterly cost per household for usage of 2,200 cubic feet/quarter based equalized rate calculation
Manchester – current
$5.11/HCF
$112.42/Q (FY19) = $450/yr
Manchester - recommended (2.0%)
$5.21/HCF
$114.67/Q (Rec’d FY20) = $459/yr
State average
Based on 2016 survey*
$472/yr for typical homeowner
Norwich
$7.433/HCF (+$8.69/mo. min chg)
Plus $0.643/HCF Upgrade chg
$186.36/Q (2018 rate) = $745/yr
Stonington
$5.37/HCF (variable min chg)
$118.14/Q (2017 rate) = $473/yr
Bridgeport
$5.945/HCF
$130.79/Q (2018 rate) = $523/yr
Darien
$5.54/HCF
$121.88/Q (2017 rate) = $488/yr
Portland
$6.31/HCF (+$30.00 QTR min chg)
$168.82/Q (2018 rate) = $675/yr
*Rate study has not been updated

14. SEWER DEPARTMENT FY2019/20 Recommended Budget
Thank You