Finance committee approves 30-year payback option for special assessments tied to private water co-op project

The Madison Finance Committee voted unanimously April 13 to amend the Madison General Ordinances to allow 30-year installment payments for special assessments tied to projects that relieve private water supply cooperatives.

Council President Bidar called for the motion and the committee moved and seconded the measure. City Engineer Wolf described the project as “a unique situation” affecting what was previously a Town of Madison neighborhood served by “a private water co-op” and said the co-op’s system now needs replacement. "They have a well serving the neighborhood, about 100 properties or so," Wolf said, explaining that combining new water service with a full street reconstruction would otherwise lead to very high special assessments for property owners.

Under current city rules, typical street and sewer assessments have a maximum payback period of 15 years. Wolf said the water utility previously amended its ordinance to allow a 30‑year payback for similar circumstances when the utility replaces a private system; the amendment approved by the committee extends that 30‑year option to all special assessments done as part of a coordinated project that relieves a private water co-op.

Alderman Figueroa Cole asked for a brief overview and Alderman Madison raised a clarification about why the extension is needed instead of pursuing standard special-assessment procedures. Wolf said the longer term is “simpler for the city” and provides a more affordable option for affected property owners given the large scale of the combined water and street work.

The ordinance change was described as narrowly targeted: Wolf said this is the only project known to which the change would apply in Madison at this time. The committee recorded a unanimous vote in favor.