Town fathers again explore PAYT
Published on November 14th, 2007
STONEHAM - The town's Board of Selectmen refused to place a binding trash fee referendum question on the April election ballot Tuesday night, but did consent to an exploration of a Pay-As-You-Throw (PAYT) system.
During Tuesday night's meeting, Town Administrator David Ragucci was directed to prepare two separate budgets for next year: one with and one without a refuse cost.
The Town Administrator, who has defended the rubbish charge as an unfortunate necessity given Stoneham's fiscal climate, predicted that the town will be facing a $680,000 deficit next year with a level-funded budget.
Should the trash fee be removed from local revenue sources, Ragucci warned, that gap would soar to nearly $2 million, based upon early forecasts.
"If we can agree that we need a trash fee, what's the sum of money we can agree with?" said Ragucci, wondering how high of a fee should be assessed. "If we think we can do without it, that's fine too, but I have to get some direction from you guys."
Currently, the refuse cost stands at $170 per household, although it was originally imposed at a $200 figure. The Selectmen later reduced that higher bill by $30 after learning that the town had $1.4 million in certified free cash this fall.
Three years ago, when the trash fee was first imposed - at the time as a one time, one year only cost - citizens paid $150 for curbside pick-up.
Rookie Selectman Frank Vallarelli later suggested that the trash fee be removed from the budget.
However, Selectman Paul Rotondi later argued that two budgets should be prepared and that the people should go to the polls this April to decide whether the fee should be continued.
According to Rotondi, town officials needed to let local citizens choose what level of government services should be permitted next year.
The Selectman, who led a failed effort to pass an $3 million override last June, further contended that should Stonehamites reject a trash fee, the proposed budget reductions needed to be implemented, lest town officials lose all of their credibility with the people.
"I will never vote for a trash fee unless it's put on the ballot and approved by the voters," Rotondi vowed.
Selectman Chair George Seibold later disagreed with Rotondi, arguing that the citizens of Stoneham voted officials into office to make decisions on issues such as the trash fee.
"But when you ask people and then you do it anyways, that causes dissent in the community," said Rotondi, referring to a rejected non-binding referendum question on the trash fee two years ago. "The fact of the matter is that it's the people's government."
"You have to stick with what you say. Last year was a perfect example. People are saying, 'Wow, we were on television and we were going to do away with all this stuff. And nothing happened.' We lost more credibility with the people."
After the Selectmen directed Ragucci to prepare two budgets, Rotondi's request to put a binding question on the ballot went unendorsed.
According to Selectman John DePinto, he felt it was way to early in the budget process to make those types of decisions, especially without anybody having concrete figures available on the types of revenue sources and budgetary increases needed for next year.
"I think it's too early to think about that. Let's get the numbers first," said DePinto, before the subject was dropped.
A switch to a PAYT system?
While the Selectmen declined to endorse the ballot question last night, they did authorize Ragucci to explore a switch to a PAYT system.
Under PAYT, citizens would pay for the amount of trash tossed to the curb each week, rather than a fixed rate for pick-up. Proponents of the system have argued that citizens can control their trash bills through increased recycling and that a flat fee is unfair to senior citizens and other low garbage generators.
According to the Town Administrator, who has repeated labeled the current flat fee as unjust, a PAYT system needs to be implemented to encourage recycling in the town.
In 2010, the town's current refuse disposal contract with Hiltz will expire, and Ragucci is estimating that Stoneham will face at least a $300,000 increase in costs when a new pact is negotiated.
While the town presently pays $58 for every ton of garbage taken from the curb, most municipalities are paying somewhere between $85 to $120 for the same service.
"We need to start thinking about how we address this now," Ragucci said.
Seibold later worried about a switch to a PAYT system, pointing out that illegal dumping generally jumps significantly when such a plan is first implemented.
According to Selectmen Chair, he challenged whether local police could enforce illegal dumping regulations, especially since the low staffed department is already lagging behind surrounding communities in the amount of traffic-related enforcement stops.
"If we average $150,000 off, compared to surrounding communities [in fines collected for moving violations], I can't imagine going to PAYT," said Seibold.
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