Boothbay Region Water District votes to remove debt limit
During a board of trustees meeting Nov. 12, Boothbay Region Water District (BRWD) which services Boothbay, Boothbay Harbor and Southport, unanimously voted to remove the district's debt limit from its charter. This decision will need to be sent to the legislature for final approval.
For now, by law, BRWD will continue to operate within its $19 million debt limit until further notice.
Last year, voters approved expanding BRWD’s debt limit from $12 to $19 million, which had not been increased since it was originally set in 2001. However, if the debt limit is removed from the charter, then any future increases can become an internal decision.
This new measure came at the recommendation of a lawyer, according to General Manager Weston Alley. It will prevent the board from having to continually revisit the debt limit issue to be able to apply for a grant or complete large-scale projects, so this would also cut down on BRWD’s legal fees.
This comes as BRWD is expecting several significant expenses, including a $2.8 million lagoons project and a $1.4 million match for Southport. However, more standard maintenance or replacement work could cause BRWD to reach the echelons of its debt limit.
“Every time we’re putting pipe in the ground we’re spending money,” said Vice Chairman Smith Climo. Clerk Kevin Anthony also pointed out that an unexpected disaster, such as a fire, could easily damage pipes and require mass scale replacement.