Agenda - 03-03-1999 - 9c - Laserfiche WebLink

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AGEI~IDA #9c To: Mayor and Town Counal . From: 3oe Capowski Re: ~~iinority reeornmsndation about sewer subsidies ' Date: August 24, 1998 SUMMARX I agree with conned members Bateman and NicClintoclc that the Town of Chapel Dill should subsidize the installation of new scYrex. Imes in eaasting neighborhoods. I di$er on the araount of the subsidy and whether O~IASA should also subsidize. I reco~nead a Iowa subsidy of ZS percent with a cag of 54,500 per lot. I recommend that OWASA not subsidize. Tlst Amount: While there is a public benefit for each home~sn Chapel Fall to access a public sewn line,. the primary beneficiary is the owner of the propexty, whether owner-occupies of remal. . The anxouut of public subsidy should reflect the amount of public beatfit from eaclr privaLe~'~ . sewer installation. I believe that a town subsidy equal to ZS percr~at of the cost~of the sewer installation is reasonable, with apes-lot cap of S4,,SOq that imereases affiually vrith -inflation. This cap is generous; it is tyro and one-half times the targrst previous town subsidy. -- . - .. _-.. Why OWASA s6unid not subsidize sewer assessments: Subsidies traas:fer foods iavol~mxan~y from osbe gaup of people to another. I believe that taus is the domain of electtd officials who are directly regpos~s'ble to the peogte.from whom~they are tatcnag the money.. A town is so structured; flWASA is not. I believt that OWASA should be a utility that provides excellent quality water and severer services within its area, at true cost. Double taxation of Chapel HIl residents also argues against OWASA provided subsidies. . The OWASA service area includes Chapel F~II, Carrbaro, and portions of unincorporated Orange Cauntp..I guess, that about 70 percecR ~af 4WA5A re~tenues are paid by Chapel 1~il1 residents. ~ If OWASA subsidizes the instaltariost of sewers, complex equity issuts abound.