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Capital Improvement Plan 2004-2 CITY OF BEVERLY CAPITAL IMPROVEMENT PROGRAM FY 2004 – 2008 Thomas M. Crean, Mayor May 2003 TABLE OF CONTENTS OVERVIEW 3 FINANCIAL CLOSEOUT OF PAST PROJECTS 5 PROJECTS COMPLETED OR UNDERWAY IN 2003 7 DESCRIPTIONS OF CAPITAL PROJECTS Public Safety 9 Schools 13 Water & Sewer, Drainage 16 Roads & Sidewalks, Parking Lots 20 Parks & Open Space 22 Waterfront 23 Recreation – Active & Passive 24 Cemeteries 25 Libraries 25 Other Capital Assets – Acquisition & Maintenance 25 Tables: PROJECT EXPENDITURES BY FISCAL YEAR General Fund 26 Water and Sewer Funds 27 CASH & DEBT SERVICE REQUIREMENTS AND 28 FUNDING SOURCES Review of Capital Project Activity (report to Beverly City 31 Council from council budget analyst, May 12, 2003) 2 OVERVIEW The Capital Improvement Program is intended to be a blueprint for the city’s anticipated capital construction and improvement program for the next five years. While the cost figures and schedules contained in it are necessarily estimates, and are thus subject to variation due to financial and economic conditions in subsequent years, this plan represents the best projections of what we as a city will be able to accomplish in the next five years, along with our best estimates of the costs and funding sources of those projects. Recent developments in the state and local economy have unavoidably had a direct impact on the city’s ability to sustain the heavy pace of capital construction of the past decade. The overhang of past project over-expenditures (see page 5) and the need to straighten out the city’s capital construction accounts also seriously hampers our ability to engage in new spending with limited resources. The completion of the elementary school building program that spans two administrations represents a major commitment to the education of our children. The focus on building or rebuilding six elementary schools, however, has had the twin effects of adding heavily to the city’s debt service burden, and pushing aside or postponing many other important projects in such areas as public safety, water and sewer, drainage, waterfront development, environmental clean-up, and – very importantly – proper maintenance and upkeep of the city’s existing capital assets. It is thus my intention, as the elementary school construction project comes to completion, restore some balance to the city’s capital construction program to . The schools will continue to be the most important single area of city capital construction, both in the amounts of investment and maintenance and the impact it has on our city, but many of the other projects that have been on hold will now move to the forefront. The need for a new academic wing at the high school is not in question. The issue remains one of timing, and of the possibility of School Building Assistance funding to reimburse the city for a portion of the projected cost. The most recent information at my disposal (which is, like everything else at the state level, subject to change in this volatile environment) is that the SBAB list and program will remain closed for as much as four years. Its future structure and eligibility requirements remain entirely uncertain. This makes repairs to the high school in order to preserve its accreditation even more urgent. The school’s downgrading from Accredited with Warning to Accredited with Probation by the New England Association of Schools and Colleges, a private accreditation group, must be addressed as soon as possible. Since the city simply cannot afford the entire $60+ million price tag to construct a new school without state assistance, I have shifted my immediate focus to a program of repairs designed to restore the accreditation of the current building. A general overview of that plan is given below. The city’s capital spending within the budget, meanwhile, will be turned to other long-deferred projects. 3 First among the deferred projects mentioned above is public safety. The first project that will be resumed is a new police and emergency communications center. The police department has been working for far too long under substandard and inadequate conditions. I have instructed the city’s architect, Donham & Sweeney, to proceed on the basis of a design for a new police station at the Cummings Center site. The design money has already been appropriated as part of the original $600,000 design funding. The city’s fire safety needs must be addressed. The study I commissioned by a former state fire marshal recommended that the city have a total of four fire stations instead of the current three. This will require the addition of more fire equipment and staffing when the plan is implemented, but I believe the fire safety of our city makes this expansion essential. Second, I believe that furnishing adequate water and sewerage service to the residents of our city is a fundamental obligation of city government. I am hopeful at this writing that the City Council will also consider it appropriate to approve the proposed West St./Hale St. sewer improvements. This work is funded out of the water and sewer improvement funds and not the city’s General Fund, so it does not represent an addition to the debt burden on the taxpayers. The same is true of the Cross Lane and, eventually, Rezza Road projects. Third, it is also incumbent on city government to help prevent the flooding of residents’ homes. That motivated my decision to recommit to the full funding of the Chubb’s Brook drainage project despite the fact that the money previously appropriated for that project was expended for other projects. The City Council, despite the obvious difficulty of additional debt service in difficult economic times, saw its way clear to renew its commitment to the residents of that area, and they are to be commended for that vision and commitment. These projects will restore the balance in city capital construction in the coming decade, and will address several long-neglected and urgent areas of our city’s infrastructure. 4 FINANCIAL CLOSEOUT OF PAST PROJECTS The city’s ability to move forward with new capital spending is contingent on the completion and closure of past projects. The financial overhang from past capital project over-expenditures impedes the city’s ability to afford new spending, and takes resources away from new projects to complete and close out those past projects. The following projects require new or additional funding as of May 2003. These project overruns will require either appropriations from the FY2004 budget or from free cash to remedy the deficits. The total at this writing is a minimum of $757,355 in past capital project overruns with unauthorized expenditures (not including the additional $1.9 million in overruns that was reauthorized by the City Council in early 2003 to complete the Chase Street/Lawrence Brook/Chubbs Brook projects); for most of these projects, the borrowing authority has expired (necessitating expenditures from future budgets or free cash). Project 506: School Buses (Deficit of $13,002) A total of $140,000 was expended on buses in the face of an appropriation of $127,000 in November 1995 and 1996. The period to borrow has expired, and the deficit thus must be funded from other sources. Project 521: Dump Trucks (deficit of $273,423) The council authorized $200,000 to buy this equipment in October 1996. The actual expenditure was $273,423, and moreover the borrowing authorization for the original $200,000 expired several years ago and thus it cannot be bonded. Project 522: Departmental Equipment (deficit of $30,623) The total expenditure was $900,244 in the face of total authorizations of $869,621. The borrowing authorization for this project has expired as well, and the deficit will have to be funded through free cash or FY04 appropriations. Project 529: BHS Track (deficit of $18,252) The expenditures on this project of $238,252 are $18,252 in excess of the spending authorization for this project. Deficit funding is from the sources cited above (free cash or FY04 budget). Project 534: BHS Boiler Replacement (deficit of $86,000) Only $250,000 has been authorized and appropriated by the council, but $336,000 has been expended or encumbered. Borrowing is still available to fund this overrun. 5 Project 563: Landfill Capping (deficit of $202,393) The council’s original authorization was $5.3 million, and expenditures exceeded those authorizations by $202,393. It is not clear at this time if bond counsel will allow additional borrowing. If not, free cash or the FY04 budget remain the available options. Project 564: Drainage (variance of $2,994,565) This is complex situation, and I refer the reader to the detail contained in the Review of Capital Project Activity as prepared for the Beverly City Council by the council’s Budget/Management Analyst on May 12, 2003 and appended to this report (page 31). Project 579: Land Takings at Airport (deficit of $23,662) Grants and contributions totaled $545,863, which were $23,662 less than the total spent. The deficit will need to be funded from future taxation or a free cash appropriation. Project 577: Airport Road (deficit of $300,245) The $300,245 is the total by which expenditures have exceeded grants and receipts from contributions and other revenues. This deficit is being aggressively pursued by the current Finance Director, and it may be possible to eliminate it with better follow-up and closure of PWED grants and other corporate contributions that have not yet been able to be traced. Financial Practices The Finance Director has instituted a number of new practices to prevent such capital project overruns and deficits in the future. These include the use of recorded budgets for all active capital projects, and encumbrances in the capital projects funds to record all contractual obligations to contractors, engineers etc. The city also intends to implement additional recommendations as specified in the Review of Capital Project Activity for City Council appended to this report. 6 SYNOPISIS OF PROJECTS COMPLETED OR UNDERWAY IN FY2003 Some 37.4 acres of landlocked open space was acquired at the Hill Property by eminent domain for its appraised value. The former owners have been in discussions with the city about additional compensation, and the outcome of those negotiations remains open as of this writing. But those 37.4 acres are now part of Sally Milligan Park, and are free for the use of Beverly residents. The environmental clean-up of the former Gurnard Manufacturing site at the airport is nearing completion. The original problem has been mitigated, and a small additional appearance of EPH (extractable petroleum hydrocarbons) is being addressed. The clean-up is expected to be completed in 2003, and the site will be returned to use as a commercial storage facility, bring tax revenues to the city and lease revenues to the airport. The clean-up of the surface debris at the former Vitale dump site on Henderson Road and the removal of the former structure there has been completed. This represents the completion of the city’s commitment to preparing the site for New England Power to continue with the clean-up of fly ash from Wenham Lake. The city has obtained a commitment from the Army Corps of Engineers to proceed with the next stage of preparations for much-needed dredging at Norwood Pond. The process is expected to continue in 2004-2005. The Chubbs Brook drainage project will continue thanks to the re-appropriation of additional funds in early 2003 to make up for past over-expenditures. This work is expected to begin before the end of 2003. The Lawrence Brook drainage project is wrapping up with the completion of sidewalks, street surfaces, and restoration of the staging area at Central Cemetery. The project will be fully completed in 2003. Phase II of the Bass River II sewerage project in North Beverly along Cabot Street (Route 97) from Trask Street to Henderson Road and the northern leg of Trask Street has been completed. This improvement cost approximately $625,000, and was partly subsidized by a federal grant achieved with the help of Congressman John F. Tierney. The long overdue sewerage tie-in project on Cross Lane has begun, within the design phase now underway. The project is expected to be completed in 2003-2004. The renovation and expansion of the Beverly Farms Library is about one-third complete. It is currently expected to be finished in December 2003. Three new playgrounds will have been installed at Holcroft Park in Ward 3, Gillis Park in Ward 2, and Cahill Park in Ward 6. Private and community initiative was the driving force behind these park improvements. 7 The Cox Court access road was constructed in 2003. It was intended to allow easier egress from the area to Rantoul or Cabot Streets while reducing driving through the neighborhood. The funds for the land takings and construction came from the Stop & Shop mitigation monies, which were fully expended for this purpose. The fire department acquired a new pumper for the Fire Department, and three new cruisers were procured for the Police Department. The North Beverly Elementary School renovations were completed and dedicated in time for the 2002-2003 school year, and the Centerville School renovations and improvements are expected to be completed in time for the 2003-2004 school year. 8 DESCRIPTIONS OF CAPITAL PROJECTS PUBLIC SAFETY The Beverly City Council approved $600,000 in 1999 for the design of a joint Public Safety Facility on land under the city’s control at Cummings Center. The parcel under the city’s control was long and narrow (somewhat pencil shaped), so the city negotiated with Cummings for a revised parcel more square in shape with more frontage on Elliott Street (Route 62). The city took ownership of the revised parcel in 2000. Given my serious doubts regarding the placement of a fire station at the Cummings Center site and the abandonment of Central Fire Station, I commissioned a study by former State Fire Marshal Joseph O’Keefe to look at the city’s overall needs for fire station placement and fire protection. His report, received in March 2003, indicated that the city should have four fire stations rather than the present three, and that the Cummings Center does not represent the best siting for a fire substation from the standpoint of overall fire protection. Previous city planning had centered on one new station on Brimbal Ave. to complement a combined police/fire facility at the Cummings Center. However, no corroboration of the availability of the potential site on Brimbal Ave. at the Route 128 overpass has been found, either in city records or with the Mass. Highway Department. That site would have to go through the normal surplus and bidding procedures for state surplus property, and the state has no current plans to do so. However, the fire needs study has suggested that Brimbal Ave. is not the optimal location for a new substation in any case. The consultant’s recommendation was that the city retain the present stations in Beverly Farms and on Hale Street (Central Fire Station), and add two new substations – one in the area of McKay St. to cover Ryalside and North Beverly, and one on Essex St. to cover the rapidly growing Centerville section of the city. The Cummings Center site remains entirely suited to a new police station and the housing of dispatch, communications, and administrative functions. Some $150,000 of the original $600,000 design appropriation has been expended by the city’s architect of Donham & Sweeney, Inc. I have now instructed them to redirect their efforts to the design of the following at the Cummings site: · the Police Department; · state-of-the-art emergency communications and emergency management center; · vehicle maintenance facilities; · support spaces for the above functions; · capability to contain a firing range. We are at this time carrying an estimate of $10,500,000 to be expended from this time forward to complete this project, including an estimated $8 million in construction costs. 9 The fire department administration and fire prevention functions are presently planned to remain at their present locations, where the fire department management can have direct contact with their personnel. I am also committed to improving the city’s fire protection and response times. I will thus proceed with the implementation of the former fire marshal’s recommendations for two new substations as the city’s financial capabilities permit. I am particularly concerned with the response times to parts of Centerville, and I feel that a new station on Essex St. is an urgent priority. The North Beverly substation, built in 1906, is becoming functionally obsolete for today’s larger fire equipment. However, it will remain in service for the next several years. To that end, we have installed a new roof on the building to improve the working and living conditions for the firefighters. Several improvements to the exterior will be carried out in 2003 to improve its overall functionality and appearance. This substation will eventually be sold to help fund the construction of a new and modern station in the McKay St. area, which will improve coverage of Ryalside while accommodating modern equipment. The use of a McKay St. site on golf course property, because of the terms of purchase of the golf course using state and federal grants, would require that an equivalent amount of land be substituted elsewhere to compensate for the area used for a fire substation. That is not expected to be an insurmountable problem. My long-range public-safety plan will ultimately require that the city maintain and staff four fire stations instead of the current three, but I am certain that in the long term the improved fire protection for our city, and especially the under-served Centerville area, is worth the expense. I am currently seeking design ideas from Donham & Sweeney for standardized fire-station designs that will cut the design and construction costs and time frames for the two new stations significantly. The timetable for proceeding with this plan is now as follows: 1) Design of new police station and communications facility at Cummings Center in Fiscal Year 2004; 2) Acquisition of site and design of new fire substation on Essex St. in 2005-06; 3) Start of construction of new police station at Cummings in 2005; 4) Construction of Essex St. fire substation in 2005-06; 5) Acquisition of site and design of new fire substation on McKay St. in 2006-07; 6) Construction of new fire substation on McKay St. or McKay St. area in 2007-08. 10 Departmental Equipment – Fire Department The Fire Department projects the following public safety and lifesaving equipment needs in the next five years: FY2004 One 110’ aerial ladder truck (replacing 1988 model) $ 800,000 One 4x4 (Blazer/Explorer) Fire Prevention vehicle to replace 1988 model 28,000 FY2005 One 1,250 GPM engine company to replace current 1989 model 450,000 FY2006 One F-350 4x4 pick-up truck with slide-on tank and pump to replace 1985 4x4 (Squad 3) 45,000 One hydraulic rescue tool to replace current oldest set of Jaws of Life 20,000 FY2007 One 4x4 command vehicle with radio, lights, and siren to replace current Car One 42,000 Five automatic defibrillators with maintenance contracts to replace current models 20,000 FY2008 One 4x4 command vehicle with radio, lights, and siren to replace current Car Two 42,000 (Potential Fire Department assumption of full EMT responsibilities – acquisition of two fully equipped ambulances and one reserve ambulance) 350,000 The prospect of a fourth fire substation in the 2006-07 time frame would necessitate the acquisition of at least one major piece of fire apparatus to equip that substation. The cost of that equipment will be added when the substation moves closer to becoming a reality. 11 Departmental Equipment – Police Department The police department will require the acquisition of three new cruisers to replace current older models. The cost per cruiser is approximately $27,000, for a total of $81,000. The Police Department was recently equipped with new Glock pistols to replace their increasingly unreliable older weapons, thanks to funding from a federal grant. The cost was approximately $30,000. The purchase of the cruisers will be subject to financial conditions in early calendar 2004, as the city’s budget situation is clarified. Departmental Equipment – Public Works Public Services requires the following equipment: · a vacuum flusher at a cost of $210,000; · four dump trucks for water & sewer department at $100,000 each; · two sweepers for $110,000 apiece; · one 11’ mower for $50,000; · five-six pick-up and one-ton dump trucks at $40,000 each; · one backhoe for water department at $100,000. This total of $1.18—1.22 million of capital requirements will be funded as resources permit. A TV video camera system for internal inspection of buried water, sewer and drain pipes estimated to cost $75,000, remains a desirable acquisition as well. 12 SCHOOLS Beverly High School No issue has been more in the public eye in the last year and a half than the physical condition of the Beverly High School. The initial plan to complete the renovation and construction of the six elementary schools and move directly on to new construction and renovation at the high school has proven beyond the city’s financial capabilities. Beverly is simply unable to assume the debt load of $60+ million – a minimum of $3 million per year – within the city’s budget, given current annual debt service approaching $10 million. However, the accreditation status of the high school has fallen into jeopardy, due to both natural aging processes and the under-funding of maintenance and repairs over the last decade. The New England Association of Schools and Colleges will meet in May 2003 to act on a recommendation from its director to downgrade the school’s accreditation status from “Accredited with Warning” to “Accredited with Probation,” and the downgrade is very likely to occur. That action is solely the result of the NEASC’s perception of the physical facility, and is in no way a reflection of the quality of the education being received at the high school. On the subject of accreditation, it is important to note that the school remains fully accredited by the Massachusetts Department of Education. While I do not intend to downplay the significance of the building’s shortcomings and deficiencies, the school is expected to remain fully accredited by the state for the foreseeable future. I regard the recommendations of the NEASC, a very dedicated private organization, to be crucial indications of what repairs and improvements we must undertake to keep the current high school building in serviceable condition until we can afford to proceed with a new school. I had developed a two-tracked approach in conjunction with the School Committee and the City Council that would have kept the prospect of building a new high school academic wing and renovation of the existing facility on track, although on a delayed basis, while pursuing the immediate repairs needed to maintain the accreditation status of the building for the 8—10 years that it may take to get a new high school facility planned and built. Circumstances have changed drastically since the development of the two-tracked approach. Most significantly, the state has suspended its School Building Assistance program indefinitely. That program used to provide 64% reimbursement of new school construction costs. The program’s future structure and date of re-opening are entirely uncertain at this date. In addition, the Beverly City Council voted in April 2003 to reject my request to approve borrowing of $734,000 to prepare the schematic design of the high school, which was the next step on the track of building the new facility. 13 These circumstances necessarily makes the repair and maintenance of the current facility the priority for the foreseeable future. It is my intention to review the NEASC’s concerns regarding the current facility, sort out operational and maintenance changes from true repairs and upgrades that are needed, and then place before the voters a request to fund the cost of those repairs. My previous estimate of $5 million prepared by architect James FitzGerald was based on a previous NEASC list that included fewer items. The repair cost will thus most likely be somewhat more than $5 million. However, much of what is on the new list of concerns can be addressed through better operational and maintenance practices, and does not represent a capital spending issue. Other items on the list have already been remedied or addressed. I remain committed to the construction of a new academic wing and renovation of the common facilities at Beverly High School, but the timing is subject to the recovery of the state and city budgets. The future availability and structure of the School Building Assistance program will be a defining element in the resumption of new construction. Design and Renovation of Middle Schools The pressing accreditation needs of the Beverly High School have caused the middle school renovation programs to be deferred indefinitely. After the high school repair program is underway by the end of calendar 2003, attention will be given to planning and scheduling the overhaul, renovation, and modernization of the two middle schools. Bus Garaging Location and Maintenance Facility The bus garage at Briscoe School was torn down in 1999 due to its dilapidated condition. Bus maintenance is currently being done at the Beverly Airport. There are several possible options being considered for the parking and maintenance of school buses, including an area at the rear of the Hannah School site with direct access to and from Brimbal Ave. No funds are appropriated for this project in FY2004. Centerville School Part of the Elementary Facilities Plan, this school was originally estimated at $5,739,000. When the project is done in 2003 it is currently anticipated the cost will be approximately $11.8 million, partly owing to the fact that some expansion was included in the design (additional classrooms). Beverly is currently scheduled to be reimbursed at 64% of the construction cost, but the timing of those reimbursements is in question owing to the under-funding of the SBAB line item in the state budget. Centerville is the sixth and final school of the schools in the Elementary Schools Facilities Plan that has spanned two administrations. 14 Construction began in June of 2002, and it is expected to be completed on schedule in time for the 2003-2004 school year. The larger school will have larger cleaning and maintenance, which are expected to be offset somewhat with the efficiencies created with fewer and larger schools as Edward and McKay cease to be used as schools. Edwards School The School Department is beginning preliminary evaluations of the feasibility of surplusing the Edwards School as a source of revenue for the school budget. The school will be used for at least part of the 2003-2004 school year by the students from the Carleton School in Salem, which is undergoing repairs and renovations. The earliest date that the Edwards School is expected to be available for surplusing is February of 2004. 15 WATER & SEWER, DRAINAGE Water The City of Beverly is currently engaged in replacing all residential and commercial water meters with new city owned remotely readable radio meters. The city now has the ability to read all residential meters over any two-day period and to read any particular meter at any time. Billing has remained on a quarterly frequency. The city will generate the maps—planimetric, topographic and digital orthographs—using SRF funds. Mapping and inventorying the city’s sanitary water system and story water system are also planned using SRF funds. The GIS Capital Plan will provide the following benefits to the City: · The SRF loan is a low-interest loan (2%) that is equivalent to a 25% grant. · The SRF repayment schedule is over a 20-year period. · The city is required to submit a Phase II Stormwater Management Plan to EPA by July 2003. The plan is aimed at achieving this objective. · The DEP has cited the city for high coliform violations in several brooks. This program provides funds to use in pursuing the problem and defining a solution. · For the first time the city will be able to develop a detailed stormwater drain system map and incorporate it into the city’s Geographical Information System. · The city will have an electronic database to locate utilities and an accurate asset inventory. Beverly has 162 miles of water mains beneath the surface of the ground which bring water to the vicinity of all the homes and businesses throughout the city. Many of these mains are over 50 years old, and some are as much as 100 years old. No regular replacements or cleaning and lining programs have ever been implemented. It is expected that over the next ten years we must replace some 25% of the mains in the city (approximately 40 miles). This translates into 4 miles of water main per year. Cost will depend on the size of the main in question (diameter) as well as the depth of burial of the pipe and the proximity of other utilities. One large specific project is the need for 5,500 feet (about one mile) of a new 12” main on Sohier Road, Herrick Street and Tozer Road. This line would reinforce the water system around the High School and the hospital, at a cost of approximately $1,000,000. It is very desirable to loop water service to all sections of the city to allow back feeding of water in the event of an outage. In other words we can feed water to any location from either up the street or down the street in a system that is looped. We have identified that approximately 25,000 feet (5 miles) of 8” lines will be required to improve our back feeding capabilities at a cost of approximately $2,000,000. 16 We have identified the need to replace approximately 200 gate valves throughout the city, and the need to add approximately 50 additional valves in order to limit the impact of an outage. The total cost is projected to be $1,500,000. We have also determined that we must add hydrants to unprotected locations and replace a number of hydrants that lack control gates. Presently Beverly has approximately 1100 hydrants. We expect to need to replace or add approximately 110 hydrants to improve protection and to ensure effective flow from each hydrant at a cost of $250,000. Because the water system improvement needs are so great, we will budget approximately $4,400,000 per year for the next five years to bring our systems to an appropriate level of service and safety. In addition to that described above, work will also be necessary on both the Brimbal Avenue and Folly Hill water tanks in the near term. While our water system improvements needed are very extensive, our sanitary sewer system needs less in the way of investment. We anticipate an increase in the water rate to be achieved by a decrease in the sewer rate thus leaving the combined rate which the homeowner pays unchanged. The first 5,000 replacement meter installations revealed 200 homes with poor water flows despite copper services from the sidewalk to the home (i.e. under the homeowner property). The likely culprit is an inferior galvanized service from the main in the street to the back of the sidewalk (i.e. under city property). Galvanized services clog themselves over a period of time (a process called tuberculation). Since we have over 10,000 homes in the city, we can extrapolate there is a total of over 400 homes with this problem which would need to be remedied at the city’s cost of about $2,000 per home, or a total of $800,000. Tuberculation gets worse and worse each year in every case until flow becomes entirely blocked. This problem is further aggravated by the fact that 1,300 homes of the first 5,000 meter installations have galvanized lines both under the city property (street and sidewalk) and the line underground in the homeowner’s yard. Thus we can deduce there are more than 2,500 homes whose water flow is limited by a clogging galvanized pipe service to some extent. A city-sponsored offer to correct this situation on a shared cost basis was proposed in past years. As the water meter replacement program nears completion, that plan will be researched further and each affected homeowner will be contacted. This is not a question of safety or health, but a question of how much water flows how fast from the tap when one turns on the faucet. The city will eventually offer a program to replace the entire run of galvanized pipe from the cellar wall to the main on the following shared basis. Participation will be at the discretion of the homeowner. The section under city property (expected to cost some $2,000 on average) will be paid for by the city. The section under homeowner property will be paid for by the homeowner. The city will do the entire job and charge the homeowner a standard $1,000 charge if the 17 cellar wall is within 20 feet of the back of sidewalk, or an additional $50 per foot of distance if the cellar wall is more than 20 feet from the back of sidewalk. This work will not be performed simultaneously with the new meter installation, because it will take much longer. Replacement will be with copper pipe, and should guarantee a lengthy period of good service. A program will be established to allow homeowners two years to pay off their obligation. Sewer The City of Beverly provides sanitary sewer service to 95% of the homes in the city with the effluent traveling to the SESD plant for treatment. Our objective is to improve this service level to close to 100%. Three remaining significant areas without city sewer are: · Hale Street, which will require a 5,500’ gravity line and 1,000’ of pressure main at an estimated cost of $1,900,000. This project is currently before the City Council for approval of the appropriation. · Cross Lane for a distance of 750’ and Boyles Street for 2,600’ at an estimated cost of $700,000. A public meeting was held in May 2003, and the project will be placed before the City Council when the cost estimates and plans are received from the design engineer. · Rezza Road – The sewerage needs of this road have continued to be postponed from year to year. However, this administration intends to begin the RFP proposal process to seek plans for providing sewerage services to this road in 2003 or 2004. The city also needs to accelerate improvements to sewer pump lift stations, at a cost of $200,000, and also needs to acquire a vacuum/flusher truck to aid in making appropriate and timely repairs. Raymond Farms This project will be administered by SESD and funded through SESD. It has been approved for partial SRF (State Revolving Fund), which allows the money to be borrowed at zero interest, a highly advantageous situation. This project is the next major project in Beverly. The project calls for sanitary sewer and drainage improvements in the Raymond Farms area. The project will allow homeowners plagued by flooding to pump these waters into a new drainage system relieving the sanitary sewer line into which the water is currently pumped. The project will reduce flooding concerns and add to the sanitary sewer capacity in the area. The 18”-diameter sewer in Balch Street will also be relined with a cured-in- place polypropylene liner under this contract. This project will be carried financially at SESD and its cost will be reflected in our assessments. The construction cost is estimated at $4,000,000. Drainage 18 The third project in an original group of drainage projects (along with Chase Street and Lawrence Brook), Chubbs Brook in Beverly Farms, encountered some financial difficulties owing to the fact that the original $9,000,000 appropriated for the three projects was expended on the first two projects and several unrelated projects. It became necessary to return to the council in 2003 for an additional appropriation to begin this project, which was passed in the amount of $1,945,000. Final design and construction of these drainage improvements is planned for Fiscal Year 2003. Other Drainage A 4’ diameter drainage line needs to be installed along much of Tozer Road from Walden Street south running approximately 3,000 feet in order to help restrain drainage problems in Ward 5. This project will be designed in FY 2004 with construction expected in FY2005. We will continue to assess the need for additional drainage projects throughout the city. 19 ROADS & SIDEWALKS, PARKING LOTS Small Road – Ward 2 This road was constructed in 2003. It was intended to allow easier egress from the area to Rantoul or Cabot Streets while reducing driving through the neighborhood. The funds for the land takings and construction came from the Stop & Shop mitigation monies, which were entirely expended for this project. Ayers Access From Bridge Street The City had previously had a very preliminary design for a roadway from Bridge Street to the Ayers School. The entrance would be located near the bottom of the hill on Bridge Street. The cost to build the access road was estimated at $500,000, with some portion of these funds expected to be available from the traffic mitigation monies paid to Beverly by Stop & Shop. However, the Stop & Shop money was expended entirely for the construction of the Cox Court access road. In addition, the present administration does not intend to do any roadway construction in the recently acquired Green’s Hill open space along the Bass River. This project has thus been removed from active consideration. Improvements to Streets and Sidewalks The state continues to cut back on Chapter 90 aid. Beverly contains some 135 miles of roads. A one-time project calling for $500,000 to be invested in sidewalks and $1,000,000 in roads was developed in past years. For these amounts, the plan was to redo one mile of concrete sidewalk, plus one and three quarter miles of asphalt sidewalk, and overlay at least six miles of roadway which would allow the improvements of the worst 5% of our total road network. Adding $350,000 in available Chapter 90 funds will increase the roadway coverage to eight or nine miles. This project would allow for road and sidewalk improvements in each ward of the city. However, this project may need to be delayed due to funding constraints. Interchange Design/Build This project continues to move through the design phase. The Engineering Department is working closely with state authorities, and hopes to receive funding and approval to bring the project to the 25% design stage in the near future. However, financial uncertainties at the state level have affected all capital construction projects. This project, to be located near Brimbal Avenue and Route 128, will include a bridge over Route 128 near the Burger King. While originally conceived as an overpass, analysis has suggested that an interchange is far more appropriate than simply an overpass. 20 The interchange plan includes on and off ramps and will allow all traffic to the Music Theatre and nearby locations to come and go without ever driving on local Beverly streets, i.e. direct access and egress to and from Route 128. Although more expensive than an overpass, this quality of life project will reduce emissions and pollution, improve safety, decrease traffic delays, and provide convenience in addition to improving the city’s cash flow by allowing the development of some land zoned for business but currently hard to access. No additional development will be created by the project beyond what is already allowed under current zoning, but properties will be more valuable and the bulk of the cost is expected to be borne by the state. As previously envisaged, this project included some private contributions and no city funds. Downtown Parking Lots The city will proceed this year with the refurbishing of the first of five downtown parking lots, beginning with the lot at Hale and Briscoe streets. The renovations and improvements to the parking lots will be funded entirely out of the parking revenues collected from the meters at those sites. The plans for the parking lot rehabilitation, provided by the Beta Group, are available for viewing at the city’s Planning Department. The plan as reflected in the table (page 26) currently projects the renovation of one lot per year for five years. Improved revenue flows would allow this timetable to be speeded up in subsequent years. 21 PARKS & OPEN SPACE This section is devoted to discussion of land acquisition and site preparation or renovation. Last year the total funding was increased to $200,000 per year during the plan period to better match our needs. It is important to note that active recreation is equally as noble as important as passive recreation. However, financial constraints have caused the indefinite suspension of budget allocations for open space acquisition. A portion of the $200,000 allocated last year, however, remains available for further acquisitions. Active – This administration is dedicated to finding space for seven athletic fields as determined necessary by the Recreation Commission. Two additional fields could be created behind the Memorial Middle School on school property. Significantly, three others could be located on the Vitale site, an 18.4-acre parcel located in North Beverly at Route 97 and Henderson Road. These three fields would be a major step toward meeting the needs of the Recreation Commission, but we will await further resolution of that site before discussing this matter further. (The reader should be aware that the resolution of that site is under active investigation by the State Department of Environmental Protection and many other interested parties because of the fly ash located on the site. New England Power Co. which is responsible for the fly ash has indicated its willingness to pay all costs associated with returning the site to a useable condition.) Another field can be created by the reactivation and enlargement of the field behind Briscoe Middle School when the school is renovated and the bus storage activity is moved. Another alternative is the recently capped dumpsite on Brimbal Ave. (below). Dump Risk Assessment With the completion of the dump capping we proceed with a risk assessment, which will help predict when the dump area can be safely used for recreational purposes. That assessment is expected to cost under $50,000, and includes the measurement of decomposition gases escaping from the vents on the landfill. Factors affecting future use of the landfill relate to its undulating contours, road access and utility availability. Sally Milligan Park & Other Open Space The city continues to pursue the acquisition of other fragmented parcels that can complete the composition of the Sally Milligan park area, in addition to the 37.4 acres that were added as part of the Hill property acquisition. The city is also investigating other smaller parcels around the city for acquisition, and has been negotiating with the owners of a small parcel in Ryalside in particular. 22 WATERFRONT Glover’s Wharf The city waterfront is currently a beehive of planning and consideration of various opportunities. More slips could be put in the water, yielding more revenue. Most believe the Federal Channel should be reconfigured. One investor has brought forward a proposal whereby he would invest significant personal funds in the building of the Hannah to a reasonable facsimile of the original ship, but up to current Coast Guard standards. This proposal is exciting but currently appears to be undercapitalized. Any activity carried out at the waterfront should be self-supporting based on marine-related revenues and the like. Therefore, this plan has no financial immediate implications. Ventron – Site Purchase There had been some thought that the City should acquire this 3.7-acre waterfront site so as to be able to exert some control over its development. Morton Thiokol, parent of Ventron, had reportedly committed to sell the property for $925,000, but the city’s files and those of Rohm & Haas, the owner, contain no record of that commitment. A proposed Purchase and Sale Agreement was presented to the City Council at the end of 2001, but the council’s Finance and Property Committee tabled that request in December 2001. This administration determined that given the history of the acquisition of the McDonald’s property and the on-going expense of that debt service (over $100,000 per year), as well as the city’s current difficult financial state, the acquisition of another piece of property without explicit plans did not make sense. The city thus decided to forego its reported right of first refusal in early 2002. The property is currently reportedly under a purchase and sale agreement by a private buyer, and details of the purchase or the purchaser have not been disclosed. The city will make certain that all applicable zoning, land use, and waterfront access conditions are met in full under any future development scenario. Bass River Seawall at Innocenti Park This wall is failing and needs immediate repair along a 500-foot section amounting to $625,000. The poor condition of this wall came into focus after the installation of the adjacent section at the Margin Street Pump Station. The presence of contaminated soils has escalated the cost of the repair. No funds are currently allocated for this repair. 23 RECREATION - Active Hurd Stadium Seats Work has been done to improve the condition of the stands at Hurd Stadium by installing concrete footings in locations where the stands were essentially bearing on bare earth. Work was also done to improve the seats for safety reasons. This administration has resurrected the Hurd Stadium Advisory Committee, and that committee is expected to provide its suggestions for the comprehensive overhaul and refurbishing of the Hurd Stadium athletic complex. A decision will be made on the next steps once the scope of the necessary repairs and upgrades is determined and priced. Beverly Golf & Tennis A study indicated that the century-old clubhouse is in need of extensive repairs and improvements, requiring approximately $1,500,000 which we would expect to bond. The first steps in these repairs and renovations was begun in the spring of 2003, with extensive repairs to the veranda, men’s locker area, and adjoining areas. This part of the project, estimated to cost $750,000, is the first significant repair and renovation work that has been done at the clubhouse in at least ten years. These repairs are expected to be completed before July 2003. YMCA Teen Center Cummings currently houses the Balch Street Teen Center of the YMCA. Cummings is eager to move the “Y” Teen Center elsewhere so as to utilize the Balch Street location for their purposes. Cummings has offered the “Y” a matching grant of up to $1,000,000 toward the construction of a new facility. The likely location of this facility is McPherson Drive. The existing McPherson Youth Center may be torn down and a larger building located at that site. City participation, if any, is as yet undefined. The entire site is very restrictive because of its small size. Hockey Rink The city has long suffered from a scarcity of adequate ice-skating facilities. The city has been working with some private investors and facilitators to explore possible sites for a hockey rink in Beverly. The facility will most likely be placed on city land, but privately operated. The investigation of possible sites has turned up several prospective locations that will be investigated further before any definitive plans are announced. 24 CEMETERIES There had been concern last year that the city was running out of cemetery space, but thanks to some creative use of space and some new approaches, the city currently has sufficient space to meet current needs. Several abandoned grass roadways in Central Cemetery will be converted for interment use, which will provide considerable additional space. The North Beverly cemetery is reaching its capacity and has only a few years of new lot sales left. Overall, however, the city has sufficient space to meet its needs. The city will be testing four acres of land it owns on Cole Street in order to get a picture of the water and ledge conditions at that site. It may be necessary to do some preliminary rock blasting to prepare the site before it can be used for burials. The testing will be done as funds become available. LIBRARIES Beverly Farms Library The renovation and expansion of the Beverly Farms Library is approximately one-third completed as of this writing. Work has been done on drainage, exterior finish, water and electrical service, walls and brickwork, and other areas. The project is still expected to be completed some time in calendar 2003. The cost of the project has escalated from a projected $3 million to slightly over $4 million. Volunteers succeeded in raising over $1,000,000 toward the renovation of the Beverly Farms Library, and a total of $1,250,000 is expected to be available in all from donations. The City of Beverly has held to its original commitment of $1,750,000. The $1 million shortfall in funding has been met by a pledge by the library’s Board of Trustees to dedicate the revenue stream from the state library funds in the amount of $50,000 per year for the next 20 years. However, at this writing, given the difficulties at the state budget level, the availability of those funds must be confirmed. Additional private and volunteer fundraising may become essential to close the funding gap. OTHER CAPITAL ASSETS – ACQUISITION & MAINTENANCE Park Street Roofs The Department of Public Services buildings at Park Street have roofs which leak badly and suffer from structural weaknesses. Some minor work is being performed at this time. $180,000 has been identified as the cost for improvements to bring these facilities into reasonable condition. We have up-to-date estimates at this time confirming the costs. 25 GENERAL FUND CAPITAL EXPENDITURE PLAN PROJECT EXPENDITURES BY FISCAL YEAR PROJECT 2004 2005 2006 2007 2008 Departmental Equipment 400,000 400,000 400,000 400,000 400,000 Drainage 1,900,000 Chase/Lawrence/Chubbs Other drainage 700,000 Dump Risk Assessment 40,000 Interchange Design/Build 300,000 300,000 200,000 Public Safety Facility 400,000 2,000,000 Design Build Hurd Stadium Seats 250,000 Annual Parks/Greenspace 200,000 200,000 200,000 200,000 Bass River Seawall 125,000/500,000 Bus Garage 250,000 Cemeteries 250,000 Bridge Street 105,000 Rantoul/Cabot 100,000 Street (Rte. 1A) Cabot Street (lots) 64,000 140,000 204,000 280,000 154,000 Centerville School 11,800,000 Fire House Design/Build 1,650,000 Golf Course 750,000 Beverly Farms Library 1,250,000 __________ TOTAL 15,809,000 6,715,000 1,354,000 1,128,000 954,000 26 WATER AND SEWER FUNDS CAPITAL EXPENDITURE PLAN PROJECT EXPENDITURES BY FISCAL YEAR PROJECT 2004 2005 2006 2007 2008 Departmental Equipment 100,000 100,000 100,000 100,000 100,000 Meter Replacement 400,000 400,000 Service Replacements 1,600,000 2,000,000 1,000,000 Main Line Replacement 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 Back Feeding 400,000 400,000 400,000 400,000 400,000 Valve Replacements 500,000 GIS 275,000 Hydraulic Model 100,000 100,000 Hydrant Improvements 125,000 Hale Street Sewer 900,000 900,000 Cross Lane/Boyle St. Sewer 300,000 300,000 Cabot and Trask St. Sewer 500,000 125,000 Pumping Station Renovations 100,000 __________ TOTAL 5,975,000 4,450,000 4,700,000 2,500,000 2,500,000 27 28