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Planning Board approves $36,000 reduction to Jennings Road bond after heated debate over revaluation policy
Summary
The Planning Board approved a $36,000 reduction to the Jennings Road Extension phase‑2 bond and agreed to study an annual revaluation policy after the applicant warned ad hoc engineering updates unfairly burden small developers.
The Town of Charlton Planning Board voted Nov. 20 to reduce the construction bond for the Jennings Road Extension (phase 2) by $36,000, settling a contentious exchange between the applicant and the town’s peer reviewer over how unit rates and prevailing wages are updated.
Applicant Russell (Russ) told the board he was taken by surprise by a recent Graves Engineering revaluation that used updated prevailing wage and bid data; he said the last phase‑2 estimate had been prepared in 2020 and that sudden increases disrupted his cash flow and construction plans. “When I got this... I was expecting probably north of $60,000, north of $70,000 to be returned to me on December 3rd… Now I’m facing a reduction in my bond, and I’m only receiving $10,000 back,” Russ said, urging a predictable schedule for unit‑price revisions.
Mike Andre of Graves Engineering explained the consultant’s method: unit rates are revised periodically using MassDOT bid data and prevailing wage/contract cost updates; some items have risen sharply since 2020 and an update was warranted. Andre and staff recommended line‑item, labor‑based decommissioning and surety estimates rather than a flat $/MW or blanket heuristic.
Board members discussed options and indicated support for a policy that would fix a regular revaluation date (for example, an annual January review) so applicants would know when rates change. The board agreed to study that policy change. Meanwhile, the board accepted a motion to allow the applicant a $36,000 reduction of the current bond (the motion passed by voice vote).
The board and consultant also noted that the town’s practice is to trigger an engineering re‑estimate when an applicant requests a bond reduction; several members said that process can be made more predictable by establishing periodic, calendarized reviews rather than ad hoc updates.
Next steps: Graves Engineering will produce the adjusted figures for phase 2 and staff will implement the bond reduction; the planning board will consider a bylaw or policy amendment to schedule regular unit‑price revaluations to reduce surprise adjustments for applicants.
