Carmel to Hold Hearings on Borrowing For Generators
The Carmel Town Board will hold two public hearings on Wednesday, Sept. 5 regarding proposals to borrow money to install generators in the two remaining water district facilities in town that do not have one.
In addition, the town board last week approved the borrowing of $75,000 to purchase a used generator that will be installed at the town hall, which will allow the building to be used as a community shelter during a prolonged power outage.
The cost of installing the generators and purchasing a used one for town hall, was discussed at a work session earlier this month.
Town Supervisor Kenneth Schmitt said the town had acquired three generators from a state government agency last year. The cost of the surplus generators was $1,200 each, compared to the $40,000 to $50,000 they might have cost if purchased new from a manufacturer.
“They were almost free,” Schmitt said.
Upon the recommendation of Town Engineer Ronald Gainer, the town board proposed installing these two generators in Carmel Water District No. 4, which serves the Lake Baldwin community and currently does not have one; and at the King’s Ridge Road pumping station in Carmel Water District No. 8, which serves the Mahopac Ridge community.
Town Comptroller Mary Ann Maxwell said that given the low level of funds in each of the water districts’ repair reserve, she recommended borrowing the money to pay for the installation of the two generators that would be repaid by the homeowners in each respective district.
The cost of installing the generator in water district No. 8 would be $25,200, costing individual homeowners an additional $13 per year over the course of the five years. In water district No. 4, the cost of installation would be $26,000, with individual homeowners paying an additional $32.64 per year over the five-year period.
Maxwell explained that the residents in district No. 4 would pay more because there were fewer homeowners to share the total cost and because the total value of assessed property was lower in that district.
“I understand the economy is very difficult and I understand people might ask,we are paying more…?,” Councilman Jonathan Schneider said. “But I think even in the case of the 171 parcels in water district four, an insurance policy of $33 a year, guaranteed that you have water throughout the year, is well worth it and it’s only a cost for five years; after that, it is paid for and done.”
In the case of the purchase of a used generator to be installed at town hall, turning the facility into a shelter during a prolonged power outage, the cost of repaying the estimated $75,000 in borrowing would be shared by all taxpayers in town.
After a new generator was installed in Carmel Water District No. 2, which serves the Hamlet of Carmel, the idea was to acquire that generator at a pro-rate of $12,500, to be paid to water district No. 2, and install it at town hall.
“The one that is downstairs now that powers the [police department] is 37 years old and it was literally on its last legs. So, rather than replacing that one, and powering only the [police department], we will be installing a larger one to power the whole building,” Schmitt said of the used 150 KW generator.
Maxwell said she strongly discouraged tapping into the town’s unreserved fund balance, currently at $1.78 million, and recommended borrowing the $75,000 for the purchase and installation that would amount to additional $1.25 per year, per taxpayer, over the course of five years.
Councilman Frank Lombardi expressed his support for both the water district and the town hall generators.
“When we had the storms in August and October, I went to visit different friends…who had no water…and it wasn’t a day. For some of them it was 10, 11 days….Not having electricity is one thing,….without water in the house, you have a dead house. You just can’t stay,” Lombardi said. “It’s long overdue. We are moving from the 19th century to the 21st century.”
Adam has worked in the local news industry for the past two decades in Westchester County and the broader Hudson Valley. Read more from Adam’s author bio here.
