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Stormwater User Fee

Ferguson Township has completed its stormwater user fee feasibility study. 

The Township’s consultant Elizabeth Treadway of Wood — in partnership with Gannett Fleming — presented the study findings at the Regular Meeting of the Board of Supervisors on Monday, May 21, 2018. 

Now that Phase 1 of the project is complete, the Board has directed Ferguson Township staff to obtain a scope and price proposal for Phase 2, which outlines next steps for implementing a stormwater user fee. The presentation included program costs over five years, service levels, funding methods, noted how fees are calculated, and estimated rates. The scope and breadth of the next phase has yet to be determined.

Note: The Stormwater Advisory Committee has completed its work at this time; Committee members may be asked to reconvene as Phase 2 progresses.

Key bullet points from the presentation (link to the full Stormwater User Fee presentation below)

Findings

Compelling Needs:
– Infrastructure investments for resiliency
– Condition assessment to drive priorities
– Investment in water quality protection for sustainability
– Shift from reactive to more proactive services
Operational Impact: – Systems in place to implement
Fairness and Equity: – Demonstrated through various rate options
Flexibility: – Rate policies can address unique conditions on who pays and how much 

Policies and Issues for Consideration

Urban versus Rural Services
– Significant variability in levels of service and system needs
Partnership with PSU
– Both regulated under Clean Water Act mandates
– Overlapping and shared responsibilities
– Formalization of roles/responsibilities to be clarified
Flexibility to Incentivize Property Owners
– Credits
– Public/Private Partnerships
Revenue Neutrality in User Fee Adoption
– All costs shifted to Stormwater Fund with appropriate reduction in other sources
– New services funded by fees

General Conclusions

• Shifting to User Fees is feasible
– Operationally and financially.
– Meet long-term goals; dedicate revenues; address needs; sustain infrastructure.

• Policies can be flexible to address:
– Service level variability
– Credit for private investment
– Incentives for expanding Green Infrastructure
– Distribution of costs efficiently and with increased equity
– Infrastructure investments shift from reactive to proactive
– Revenue neutrality, achieved at a macro-level

Stormwater User Fee Presentation to the BOS_05.21.18

Stormwater User Fee Feasibility Study Archive