Southborough committee weighs district improvement financing, wastewater options as Costco rezoning nears

A Town of Southborough committee met at 7:02 p.m. to review financing options for extending sewer infrastructure, focusing on district improvement financing, potential users and near-term impacts if a zoning article tied to a proposed Costco goes forward.

Committee members discussed why the town would consider a DIF — a financing tool that uses incremental tax revenue from new development to pay for public infrastructure — and the practical steps and costs involved in preparing a DIF development program and related implementation materials required under state law. Participants referenced “mass general law 40 q” as the statutory basis discussed in the meeting and said preparing a compliant DIF packet typically requires substantial documentation and often a consultant.

The discussion focused on three issues: near-term wastewater demand tied to a rezoning warrant article that could allow a Costco-sized retail development; where treatment and discharge or recharge could be sited; and funding options including MassDevelopment technical-assistance grants, betterments and split arrangements for incremental tax receipts. Committee members said Atlantic management (the developer cited in the meeting) has an existing agreement with neighboring Westborough for 50,000 gallons of sewer allocation; they noted that amount would likely cover several anticipated retail uses but that residential or industrial developments would raise demand further.

Committee members described the DIF scope and…