ITEM #7
09-11-07
September 7, 2007
The Glastonbury Town Council
2155 Main Street
Glastonbury, CT 06033
Re: Town Manager’s Report
Dear Council Members:
The following will keep you up-to-date on various topics:
1. Tax Exemption – Hybrid and Fuel Efficient Vehicles:
Public Act 07-242 enables cities and towns by vote of its legislative body to provide a property tax exemption for hybrid and fuel efficient vehicles meeting certain requirements. While it appears the Public Act requires some clarification and fine-tuning, current understanding of the Act is as follows:
· Public Act is effective January 1, 2008.
· Vehicles must be exempt from Connecticut’s Sales & Use Tax under applicable General Statutes.
· High mileage vehicles include those with estimated highway mileage of at least 40 mpg according to EPA purchased on or after January 1, 2008 and prior to July 1, 2010.
· Hybrid passenger cars purchased on or after October 1, 2004 and prior to October 1, 2008.
Additional information will be provided based on expected clarifications. Current understanding is the exemption is granted on an “all or nothing” basis. Basically, no exemption or 100% exemption. Preliminary estimates indicate the exemption would total approximately $75,000+ annually. This requires more analysis. Current tax exemptions for elderly, public safety volunteers, farm buildings, etc. total approximately $500,000. Any tax exemption for hybrid or high mileage vehicles would add to this total.
2. Efficiency, Effectiveness and Customer Service:
The following outlines recent initiatives.
Sewer Line Repair. As noted under Public Hearing No. 1, funds are carried forward for repair to a sewer line located beneath Worthington Road. Replacement of the line was considered but instead a sleeve was installed to restore flow. This approach in lieu of pipe replacement reduced costs by approximately $82,225, from $98,000 to $15,775.
Electric Generation. The cost of electric generation for Town and Board of Education facilities is locked in through 2009 at approximately $0.10 per kWh. Through effective market timing the Nayaug Elementary School was locked through December 2009 at a rate of less that $0.096 per kWh. This results from paying close attention to applicable markets.
Energy Rebates. Working with CL&P, energy conservation improvements are integrated to the Nayaug Elementary School and GHS renovation project. This was reported on previously. Combined incentive payments for the 2 schools were estimated at approximately $316,652. I am pleased to report the estimates proved accurate with the Town to receive the estimated $316,000+. The energy efficiency initiatives are estimated to reduce annual costs for both facilities by approximately $233,500.
Equipment Maintenance. Parks maintenance staff is making greater use of plastic wood to replace exterior plywood of field hockey goals at GHS. While the initial material costs is higher, future costs will be significantly reduced by eliminating the need to order replacement plywood, transport materials, install, etc. Another step to improve operational efficiency.
3. Bridge Repairs:
The Route 17 Bridge over Hubbard Street is scheduled for major repairs during the 2009 construction season. Residents along Hubbard Street have been contacted and State DOT will hold a public information hearing on Thursday, September 20, 2007. Town staff and I are briefed on the project and DOT will continue to provide updates as actual construction approaches.
The Putnam Bridge is scheduled for bridge deck repair and resurfacing beginning in spring 2008. This will necessitate one-way only traffic (not alternating one-way) over a series of 8-10 weekends (4-5 per direction). Work will not take place on holiday weekends. A public information hearing was held in Glastonbury on Wednesday, August 29th. Additional updates will be provided as the construction phase approaches.
I will be happy to review the preceding and any other items Tuesday evening.
Sincerely,
Richard J. Johnson
Town Manager
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