Scituate Select Board Schedules Special Town Meeting Amid Water Treatment Plant Cost Overruns
June 24th Meeting to Focus on Securing Additional $20.3 Million for Construction and Requesting ARPA Funds
SCITUATE, MA - May 22 - The Scituate Select Board voted unanimously to schedule a special town meeting on June 24, 2024, to discuss additional funding for the construction of the new water treatment plant. The meeting will include articles on the additional $20.3 million needed and a resolution to request more American Rescue Plan Act (ARPA) funds from Plymouth County Commissioners.
The decision comes after bids for the project came in significantly higher than the original estimates, with the lowest base bid at $56 million, $10 million over the budgeted amount. Town Administrator Jim Boudreau explained that the total shortfall, including contingencies and other costs, is $20,320,960.
"It's the bidding climate that we're in," said Rob Little, the lead design engineer for the project. "We've never seen the bidding climate accelerating as quickly as it was."
Little cited the incredible number of projects currently out for bid, totaling over $825 million, and the new federal PFAS limits as factors contributing to the high bids. PFAS, or per- and polyfluoroalkyl substances, are a group of chemicals that have been linked to health problems and are now subject to stricter regulations.
The Select Board considered several options, including rejecting all bids and going back out to bid, waiting for other large projects to be awarded, or scheduling a special town meeting to authorize additional borrowing. Ultimately, they decided to move forward with the special town meeting.
"We have to find a way to get this over the goal line," said Select Board Chair Andrew Goodrich. "I hope this will be a good conversation for everyone."
The town has identified several sources of funds to help mitigate the impact on taxpayers, including unspent balances from other projects, water enterprise retained earnings, and capital stabilization funds. The town is also seeking a 0% loan from the Massachusetts Clean Water Trust for the portions of the project related to PFAS treatment.
"If we can get a 0% loan, then we can actually make the impact of this, even being $20 million higher, less than what was at the time of the issue when we voted for it at the time," said Boudreau.
Some residents expressed concerns about the impact of the increased costs on taxpayers, particularly those on fixed incomes. Phyllis Scarborough, a long-time resident, said, "I fully understand the dynamics. However, it's... We didn't know about this cost."
Others questioned the oversight of the project and the accuracy of the original estimates. "Municipal construction projects deserve estimators that are up to date, that understand market conditions," said James Hunt, a resident of North Scituate.
Despite the concerns, the Select Board emphasized the importance of moving forward with the project to ensure clean drinking water for the town. "It's clear we value clean drinking water," said Select Board member Karen Connolly. "And we were so forward-thinking in the design for this."
The special town meeting on June 24 will give residents the opportunity to vote on the additional funding needed for the water treatment plant. The Select Board encourages all residents to attend and participate in the discussion.