Londonderry board adopts $75 monthly wastewater user fee and spreads bond costs across town taxes

The Londonderry Select Board voted to adopt a wastewater operations-and-maintenance (O&M) user fee of approximately $75 per equivalent residential unit (ERU) per month and to repay the project's debt service through the town grand list for the 30-year bond period.

Corey Beck, who identified himself as a member of the wastewater committee, presented capacity and cost estimates and outlined the trade-offs the board faced. "The 3rd cost is the annual operations and maintenance cost, which is estimated at 37,000 about $37,000 a year plus, about $10,700 a year in, reserve funds," Beck said as he walked the board through the line items and subscription scenarios. Beck described two broad approaches: assign the bond debt to users (which would raise monthly charges for connected properties) or spread the bond debt across the town tax base (the grand list). He said the committee recommended using the grand list to cover the debt service while keeping O&M as a user-paid charge.

Board members questioned assumptions and risks, including subscription rates and the security of grant and bond funding. One resident, who identified himself earlier as Jeff during public comment, argued against the project by pointing to state-approved alternative septic systems and saying, "None of this needs to happen." Committee and staff speakers responded that state alternatives can be a solution in some cases but that a community wastewater system is intended to address failing systems and to support downtown development and water-quality improvements.

After discussion, a motion to "adopt a wastewater operations and maintenance user cost of approximately $75 per equivalent resident unit per month and to repay the debt service of approximately $26,590 per year for a period of 30 years with 100% of the grand list support until such debt service is satisfied" was moved, seconded and passed by voice vote with one member recorded as abstaining. The board chair called for presenting those rates to prospective users so residents can sign up and the project team can proceed to bidding and final contract decisions.

The board was explicit that final contractor agreements and some implementation details will return for review before construction begins. The wastewater committee will continue outreach to get letters of interest and clarify the subscription rate that will affect future fiscal modeling.