What is the KSD? Plant tour Rates News & announcements Agenda Specifications Year end report & audit Home Town of Kennebunk		REPORT OF THE KENNEBUNK SEWER DISTRICT You may download the 2009 Audit Report by following this link. The Kennebunk Sewer District is a quasi-municipal entity that was incorporated by an act of the Maine State Legislature in 1955. Office hours are between 7:30 a.m. and 4:00 p.m. Monday through Friday. The District is governed by an elected Board of Trustees serving staggered three year terms. For more information on the District, please visit our website at www.ksdistrict.org . The following is a report which briefly summarizes several areas of the District's operational and administrative accomplishments over the past year based on information collected over the course of 2009. For some of these categories, the goals and projections for the year 2010 and beyond are included. ADMINISTRATION Billing For the four quarters in 2009, the following amounts were billed to the customers of the KSD: Quarter Billed Collected % Collected 1st Quarter $515,638 $515,893 100% 2nd Quarter $517,117 $579,454 112% 3rd Quarter $517,748 $519,713 100% 4th Quarter $519,473 $497,065 96% Totals $2,069,976 $2,112,125 102% Liens Liens for a total of $26,653.04 were filed for delinquent customers on their 2008 charges. The number of delinquent accounts with 2007 and prior liens presently stands at 33 with a total outstanding balance of $11,312.18. Impact Fees As of December 31, 2009, 29 impact fees were collected in 2009 by the KSD for a total of $133,785.69. This compares with 18 impact fees collected in 2008 for a total of $42,168.05. The total that the District has in the impact fee account is currently $1,616,225.43. Below is a summary of impact fees collected over the past 10 years. Year # Impact Fees Total Collected 2009 29 $ 133,785.69 2008 18 $ 42,168.05 2007 45 $ 241,635.93 2006 32 $ 127,332.33 2005 33 $ 122,294.08 2004 30 $ 79,051.16 2003 46 $ 225,412.51 2002 37 $ 100,092.32 2001 33 $ 127,714.40 2000 37 $ 259,390.90 10 Year Totals: 340 $1,458,877.37 Capital Reserve Account - balance as of 12/31/09 = $1,442,419.24 Sewer Permits and New Customers In 2009, 25 sewer connection permits were issued and approximately 72 accounts added to the customer base. This compares with 18 and 18 respectively for the same period in 2008. 2010 Sewer User Fees, Impact Fees & Budget The Board of Trustees plans to hold a Rate Hearing on March 2, 2010 to set 2010 rates and fees. An adjustment to the current user fees is being considered for 2010. As proposed, an average user with 6,000 ft3 of water used will see an increase of approximately 5%. The projected budget for 2010 is $2,179,687, slightly down from the 2009 budget of $2,195,481. As is the case yearly, the Board is also proposing to increase the base impact fee charge by approximately 1.3% to match the increase in the Construction Cost Index as published by the Engineering News Record. If passed, the new base impact fee will increase from the current $2,635 per equivalent unit to $2,669 per equivalent unit. In 2006 and 2007, the Board of Trustees established Collection System Impact Fees that are collected from new and expanded uses in certain drainage areas throughout the District’s service area. Monies are placed in separate accounts and will be dedicated towards improvements in each specific collection system necessitated by growth. Currently there are Collection System Impact Fees set for the Turnpike Industrial Zone, Route 1 North, and Route 1 South areas. In 2009, they were $1,855, $71 and $108 per equivalent unit respectively. An increase of 1.3% will be considered and, if adopted, those Collection System Impact Fees would increase to $1,985, $72 and $109 per equivalent unit respectively. Beginning in the fall of 2008, the Board hired Wright Pierce Engineers to review the existing rate structure of the Treatment Facility Impact Fee and to explore alternative approaches to help provide for the District’s future capital needs. As discussions developed the Equity Buy-In Fee method was chosen to replace the existing Facility Impact Fee. The idea behind the fee is based on the fact that the District’s customers have been paying for the capital cost of unused capacity in the system for many years, and that new users should “buy into” the equity that has been developed in the District’s system and paid for by existing users. Like Impact Fees, Equity Buy-In Fees are one time charges for new construction or changes of use that result in more wastewater discharged to the public sewer. Funds collected will be used to help defray the costs of a future upgrade to the wastewater treatment facility and collection systems. The Board of Trustees is proposing to set the base rate of the Equity Buy-In Fee at $2,816 for 2010. From the base Equity Buy-In Fee charge all other Equity Buy-In Fees for various classifications are determined. Beginning on April 1, 2010 Equity Buy-In Fees will go into effect and Facility Impact Fees will no longer be charged. For more detailed information regarding the 2009 Financial Statements of the Kennebunk Sewer District, please visit our website: www.ksdistrict.org. OPERATIONS Biosolids Production and Disposal In 2009, the Kennebunk Sewer District produced approximately 1,150 yds3 of de-watered biosolids. Commencing June 1, 2007, KSD began a new 5 year contract with Soil Preparation Inc. (SPI) for the handling of all KSD biosolids. KSD and a group of six other communities and districts made a request for proposals, reviewed the proposals, and negotiated with SPI for biosolids services at considerable savings. In 2010, the KSD expects to produce between 1,100 and 1,200 yds3 of sludge. I&I Program For more than 15 years, the District has focused on removing as much clean water that enters its collection system as is economically feasible. Technically known as infiltration and inflow or I&I, this excess clean water robs capacity from the collection systems and treatment facility. KSD each year targets areas within its collection system that will be repaired or replaced to remove additional I&I. The results have paid off over the years by significantly reducing the number of bypass events at the treatment facilities. In 2009, the KSD did not bypass high storm water flows at all. Below is a table of KSD bypasses over the past ten years. Overall, our records indicate that rainfall for 2009 has been well above average at 62.29 inches, while the yearly average rainfall for Portland is 46 inches. Year Number of Events 2009 0 2008 6 2007 5 2006 6 2005 20 2004 1 2003 0 2002 0 2001 18 2000 4 Treatment Plant Overall, from January 1, 2009 to December 31, 2009, KSD treated 300.9 million gallons of water for a daily average of .810 million gallons per day (mgd) compared to 316.8 million gallons of water for a daily average of .860 million gallons per day (mgd) for the same time period in 2008. Looking at this strictly as an average and the design of the plant being 1.31 mgd, the plant ran at 66% of its hydraulic capacity on an average day in 2009. In addition, the plant was designed to treat 2,576 pounds per day BOD. Below are the average hydraulic and organic loadings for each year going back to 2000. Year Ave. Flow % Cap BOD Loading % Design 2009 .810 mgd 62% 1,499 lbs./day 58% 2008 .860 mgd 66% 1,399 lbs./day 54% 2007 .770 mgd 59% 1,458 lbs./day 57% 2006 1.00 mgd 76% 1,459 lbs./day 57% 2005 1.00 mgd 76% 1,284 lbs./day 50% 2004 .777 mgd 59% 1,321 lbs./day 51% 2003 .810 mgd 62% 1,392 lbs./day 54% 2002 .720 mgd 55% 1,425 lbs./day 55% 2001 .710 mgd 54% 1,346 lbs./day 52% 2000 .730 mgd 56% 1,123 lbs./day 44% Design Review and Inspection Monitoring of Developments The Kennebunk Sewer District customer base growth has decreased during 2009 to less than 1% which is down from the historical 2% average per year. In light of the economic downturn and using a realistic outlook for 2010, a 1% growth for rate is expected. Large scale commercial development and multiple housing projects that have already begun are continuing but future planning and construction of multiple housing projects, such as affordable housing, special needs apartments and condominiums have taken a sharp downturn. Those developments/projects reviewed and/or inspected in 2009 were: 1. Bethesda House – The second phase of this 41 unit condominium development at the end of Shape Drive is completed. The sewer system was successfully installed and tested. 2. Park Street School – KSD has reviewed the sewer system designed for this renovation project. Similar to the Cousens School project in 2008, the Park Street School is slated for conversion into condominiums. 3. Route 1 South – The Town of Kennebunk received another grant to continue installation of sewer farther south. The sewer extension runs from Bragdon Lane, where the first phase ended in 2005, and extended 1,850 feet to the RSU-21 lot. The Town secured a second grant for this phase of the project, thereby allowing businesses in this commercial corridor the opportunity to expand with connection to the sewer system. The next phase of the project includes a pump station located at Industry Way by Garrett-Pillsbury, which is slated for installation during the winter. The Town is considering extending the sewer farther down Route 1 South, but that part of the project is dependent on receiving more grant money. 4. Shopper’s Village – The Town installed a bypass road through Shopper’s Village from the Goodall Wellness facility at Shape Drive to the Post Office. There was a sewer extension as part of the road construction to accommodate development along the road. During construction, the sewer service line from Shopper’s Village was discovered to be exposed in Wonder Brook. The contractor is working with the management of Shopper’s Village to re-route the service flow from the plaza. 5. Scotsmans Brook – This Town project was inspired by the floods experienced during the Patriots’ Day Storm in 2007. The Town hired Brex Corporation to install 5-foot diameter pipe through the downtown area to reroute the brook. Currently, the brook flows underneath the Fortier Block, Route 1 and the Ross Block before it daylights just above Water Street. The contractor started at the Mousam River and installed the pipe through Rotary Park, across Water Street, and behind the shops on Main Street, across Grove Street and stopped before Village Pharmacy. The project will resume in the spring. The contractor had to blast bedrock and cross several utilities, including KSD’s gravity sewer lines on Water Street and Grove Street. When the project continues in 2010, the contractor will run storm drain pipe to Nason Court, across Main Street and up to Scotsmans Brook along Bourne Street. During this phase of the project, the contractor may also be working on KSD’s sewer lines, depending on conditions. 6. Sea Grass Lane – This sewer extension is a bit unique because it will extend to an existing neighborhood. The sewer line will allow the neighbors to expand these homes which are located at the mouth of Gooch Creek and the Kennebunk River. Some innovations of the project included construction of more dunes to augment the dune system at the shore. 2009 CAPITAL PROJECTS The following is a list and short summary of the capital improvement projects that were started and/or completed in 2009. 1. Dewatering Upgrade – The new machinery known as Huber inclined screw presses will be able to dewater a greater quantity of biosolids and produce a much dryer product compared to the previous equipment. This dryer material will save the District money by reducing the tipping fees for biosolids disposal. An added benefit is the reduction in electrical use due to significantly less horsepower to run the new Huber inclined screw presses when compared to the previous system. 2. Patriots’ Day Flood Recovery and Mitigation Projects - KSD was hit hard by a flood on Patriots’ Day 2007 (PDF). During the past two years, KSD has successfully completed several recovery projects with help from the Federal Emergency Management Agency (FEMA). This year, KSD hired APEX Construction to complete the PDF Mechanical Project. The Mechanical project included replacement of pumps, blowers, drives and sensors that were damaged in the flood. KSD also hired Marston Industrial Group to paint the flood damaged areas. The last and largest project resulting from the Patriots’ Day flood, was to build an earthen berm to protect KSD’s wastewater treatment facilities from future flood events, also began this year. After about a year of work to acquire easements and the necessary permits for its construction, Brown Industrial Group (BIG) began work on the berm’s construction in August 2009. This project is also being undertaken with financial help from FEMA. The project consists of constructing a protective earthen berm around the entire treatment plant. For the protection to be complete, the project also included raising the level of Water Street outside the entrance gate. BIG is also tasked with constructing two storm water pump stations. These pump stations are required because the berm will actually contain rain water that falls directly into the plant. The plant would become a bowl filling with water if the pump stations were not built. The project included replacing several utilities under Water Street, including the sewer line, the water line, and a culvert. These utilities were upsized to accommodate future capacity. The project also included reconstruction of the entrance to a nature trail that is owned and maintained by Kennebunk Land Trust. Overall, the project is 95% completed. Next year, final completion will include plantings and final paving of Water Street and the plant parking lot. 3. Screw Pump Upgrade – KSD hired APEX Construction to replace two of the existing 24-inch screw pumps with 26-inch diameter screw pumps. This renovation project will increase KSD’s flow capacity. The contractor also rehabilitated the third screw so that it will maintain its remaining capacity. 2010 PROPOSED CAPITAL IMPROVEMENTS The following table lists capital improvements proposed for 2010. Project Location Cost Office and Lab Improvements Water Street Office $3,000 GIS Mapping System Mapping $10,000 Manhole, Pipe Replacement & Relining Bourne, High & Storer Streets $146,000 Collection System Investigation Various Locations $10,000 Doanes Wharf Generator Doanes Wharf $30,000 Plant Improvements Water Street Plant $432,000 Pump Station Improvements Various Stations $102,000 TOTAL $733,000 ON-GOING ISSUES/PROJECTS Patriots’ Day Flood On April 16, 2007, the Kennebunk Sewer District's wastewater treatment facility was flooded by the Northeaster that struck the southern Maine coast. Astronomically high tides, wind and rainfall combined to push water levels over the banks of the Mousam River. At the height of the storm there was more than 4 feet of water in the District’s yard and nine of the eleven buildings that make up the Water Street facility were flooded by the overflowing Mousam River. Much of the equipment in those buildings was damaged, some severely. It took several months and numerous meetings with FEMA, State and local officials to develop and agree on a plan for the reconstruction and mitigation for the wastewater facility. Submission of the application was difficult and time consuming, but in early October of 2007, the plan was finalized and sent to Washington, D.C. for FEMA approval. Senator Susan Collins’ office was a driving force during this process, seeing it through to its successful conclusion. In early December 2007, word was received that the reconstruction and mitigation projects had received final FEMA approval. Similar to last year, the activities related to the reconstruction and mitigation projects took up a significant amount of the District’s efforts. We are all happy to be able to say that most of the work has been completed and that an end is in sight to this multi-year endeavor. Three major projects were begun during 2009. The mechanical, painting and mitigation contracts were undertaken. The mechanical work involved the replacement of destroyed pumps, blowers, controls and sensors in many of the facility’s buildings. Apex Construction was the contractor for this project. When most of the facility buildings were flooded, extensive damage was done to the finishes that were on the walls and equipment. The painting contract was won by Marston Industrial Group and consisted of painting most of the surfaces in the lower levels of 4 buildings in the facility. The last and by far the largest contract has been the mitigation project which consists of building a protective earthen berm to surround the facility that is intended to help prevent future flooding to the facility. Brown Industrial Group (BIG) is the contractor on this job. Substantial completion will soon be reached and final completion will be accomplished by May 31, 2010. Facility Study – Review of Impact Fee In the fall of 2008, the Board received proposals from Wright Pierce (WP) and Underwood Engineers to perform a facility study that would review the current impact fee rate and structure. The Board chose to work with Vic Krea of WP on this project. During discussions with the Board, the concept of converting from an Impact Fee (used for growth/capacity related projects) to an Equity Buy-In Fee (District-wide needs based) grew more appealing to the Board. In February 2009, the Board made the decision to make the transition. Since this conversion would involve significant changes to the District’s Rules and Regulations, the Trustees chose to retain Facility Impact Fees through 2009 and part of 2010 in order to modify its regulations and hold the necessary public hearing prior to adopting the amendments. In December 2009, the Board held the public hearing to receive public comment on the amendments to its Rules and Regulations. The period for written comments closed on December 22, 2009. At the Board’s January 5, 2010 meeting, the Trustees will review all comments and at that time may formally vote to amend the Rules and Regulations as advertised. Conclusion In the history of the Kennebunk Sewer District there has never been a year quite like 2009. Between the two reconstruction contracts, mitigation project and two major capital projects as well as, the Town’s projects of Scotsmans Brook, the Shopper’s Village/ Goodall Center access road and the York Street sewer extension and the routine day to day issues, the KSD Staff was very busy. The volume of projects scheduled for 2010 is expected to be less, but their importance will not. The Patriots’ Day recovery and mitigation projects should be coming to a successful conclusion. While those are winding down, KSD will be preparing for a major renovation of its HVAC systems and collection system improvements. Finally, the Board wishes to acknowledge the dedicated service of District employees for their outstanding efforts to best serve the customers of the Kennebunk Sewer District. The Board is also grateful for the cooperation and assistance provided by the Kennebunk Land Trust, the local utilities and the Town during 2009. Respectfully submitted, Board of Trustees of the Kennebunk Sewer District James A. Oppert, P.E., Chair John E. Price III, Vice Chair Robert J. DiCarlo, Treasurer Peter G. Booth, Clerk Mark K. Allenwood, Trustee