Upper Pottsgrove Adds More Info on Sewer Sale

The green areas on this official map show the areas of Upper Pottsgrove Township which have sewer service.

Upper Pottsgrove Township Commissioners voted last week to advertise an ordinance allowing the sale of its sewer system to Pennsylvania American Water for $13,750,000.

Commissioner Martin Schreiber cast the only vote against advertising the ordinance.

The vote came Wednesday night after the second of a series of four on-line public meetings to provide information and answer questions about the proposed sale. The next two meetings are Tuesday, April 14 and Thursday, April 16.

(Click here for details on how to attend the next online meeting.)

The vote to advertise the ordinance will make it possible for the commissioners to vote April 20 on whether or not to sell the system.

The April 6 meeting occurred at the same time as the Pottstown Borough Council meeting, so I only caught the tail end of the Upper Pottsgrove meeting.

I am not sure how much new information was provided, but one piece identified by attendees as missing during the first meeting was provided in the second.

Newly provided was what the history of the township's rate hikes over the past few decades looks like.

The chart shows that Upper Pottsgrove's sewer rates have not moved steadily. From 1978 to about 1988, there was little change. Then there was a doubling of the rate in about 1992 and another decade of no change.

In 2007, they jumped another 71 percent when the state forced the township to take over and replacing the failing pump station in the Regal Oaks subdivision.

The township calculated, as the chart shows, that the average rate since 1978 is about 6 percent and the annual growth rate works out to 4.64 percent.

Information about the forecast rate increase under Pennsylvania American was also made more specific.

Those projections show rates would drop initially by about 9.6 percent under the current proposal, and then begin to climb again about two years after the purchase is completed.

It also shows the projected rate increase are comparable to the township's history of rate increases.

The township also provided two new slides in its presentation to show:

A) How the sale would benefit homeowners and save them money;

B) How the sale of the system would lower township expenses;

Another piece of the puzzle was added by John Bealer, a former commissioner who is now chairman of the township's sewer committee.

He said the system needs about $5 million in expansion to meet the township's master plan for the system, known as the 537 plan. The properties added to the system will generate $731,500 in revenue, he said.

The remaining cost would "have a great impact on rates going forward," said Bealer.

If Pennsylvania American does buy the system, those same costs would incurred, but they would instead be spread among the company's 700,000 customers and not just shouldered by Upper Pottsgrove users of the system.

On Saturday, Scheiber posted his views on the Facebook page he runs: "Commissioner Schreiber's Upper Pottsgrove News."

There, he criticized the informational letter issued by the township and questioned the wisdom of selling the system.

In part, he wrote:

By now most residents have gotten a letter about selling the sewer. This letter pictures the rosiest picture possible. Does the township have debt? Yes, it does, but only $4.7m is sewer debt. This debt is paid for by sewer customers only.

The idea to sell the sewer could sound great, and it does have its pluses. When new EPA/DEP regulations come into place it is no longer the township's problem. When a pump station goes down it is not the township's problem. Upgrades that need to be made, again, are not the township's problem.

But, why would sewer customers need to pay off all of the township’s debt? Why would sewer customers be the only ones paying for new or improvements to the township buildings?

He added:

Selling the sewer, after closing costs, would see about $13m. $4.7M or $5M would pay off the sewer debt. This leaves $8M to pay off the open space that would be paid off too (remember the township voted to tax themselves via Earned Income Tax at 0.25%). This $2M+ would then make members of the community that have no earned income that have sewer pay for this open space.

This is what the online meetings look like on your computer.

$200,000+ is owed in the state fund, the money to pay this comes from liquid fuel money from the state from when you gas up. Yes, we can use that money for other items if this is paid, off but do we need to? The general fund has very little debt, maybe around $30,000 a year for a few more years.

When I was seated on the board, the township was in debt for about $12.5M. 6 years later that number has gone way down and the number keeps going down. PFM, the group that is managing the sale, stated they believe that the sewer rates would stay steady if the township keeps the sewer. They also stated that it would cost households about $190 a year in tax increase to borrow $4m for 20 years for new or repairs to the buildings. 

Scheiber concluded:

There are plans approved for about 140 age restricted homes in our community. This same company would like a total of about 400 homes. If these homes are built the system could sell for another $2M. Should we wait?

If you look up the company that is the highest bidder on the Better Business Bureau they have a D- rating. If you are not happy with your sewer now, you can come to a township meeting and talk it out with the township. You can also vote out the individuals who don't seem to hear your concerns. Who are you going to talk to if it is sold?

To sell the sewer now without having true public meetings would be wrong, it could be perceived as lack of transparency would not be in the best interest of our township.

Pressing Ahead on Upper Pottsgrove Sewer Sale

POINTED ADVICE: Above, John Bealer, former township commissioner and chair of the township's sewer committee, says the board should entertain questions from its citizens at its public meetings.

Upper Pottsgrove Commissioners are pressing ahead with their exploration of the sale of the sewer system.

During last night's commissioners' meeting, Board chairman Trace Slinkerd said bids for the system will be opened on March 16.

The board of commissioners will meet in "executive session," from which the public is excluded, on March 18 and March 25.

Also on March 25 and on April 2, Slinkerd said  public meetings will be held to entertain questions and comments from the public.

(Additional meetings may be scheduled on April 6 and April 8 if needed, he said).

He also mentioned that a special lawyer has been hired to oversee the process for the township, although no name was mentioned.

Slinkerd said the commissioners are expected to vote on the matter on April 20.

That will make about a year since the matter was first raised publicly.

Last April, Sewer Committee Chairman and former commissioner John Bealer said the township was approached by Aqua PA and Pennsylvania American Water about selling the system.

Ever since the passage of Act 12 in 2016, private utility companies like Aqua and PA American Water have been on a buying spree.

The act changes the way the systems are valued and allows municipalities to charge much more to sell the system than they previously did. This makes overtures from private companies much more attractive because the sale prices are much higher.

Aided by Act 12, Exeter Township in Berks County sold its sewer treatment plant to Pennsylvania American Water Co. for $96 million in October.

More recently, on Nov. 19, Royersford Borough Council voted to sell that borough's sewer system to Pennsylvania American, which provides the borough's public water, for $13 million.

In August, 2018, neighboring Limerick Township sold its much larger system for more than $75 million to Aqua PA, in a move that allowed the township to eliminate debt and fund several capital projects, but may also mean a rate hike for Limerick customers of as much as 84 percent.

Limerick's annual average sewer rate of about $384 will be frozen for one more year under the law. 

Upper Pottsgrove's annual bill is about $860, one of the highest in the area.

That may be because the system has about 1,600 "equivalent dwelling units," which is how sewer charges are calculated, that together have nearly $9 million in debt, money spent cost to expand the system to homes with failing septic fields and failing systems, like the Regal Oaks subdivision off Gilbertsville Road.

About 35 percent of the quarterly sewer bill goes to debt service on the system extension.

If the Upper Pottsgrove system is purchased, the debt would still be owed by the township, so that would likely be the first place the money from the sale would be spent, Bealer said last year. Slinkerd has said money from the sale could also be used for needed facility upgrades, like to the police station and a desperately needed new salt shed.

In the meantime, work continues on the system.

Last night, the commissioners approved a bid from Doli Construction for another phase of the Regal Oaks sewer system project. The bid of $537,440 was within the budget for the project, which benefits from a $200,000 state grant to cover part of the cost.

The project will connect 26 homes on Rose Valley Road and Holly Berry Court, as well as seven homes on Gilbertsville Road.

In response to a question from Commissioner Martin Schreiber, Township Manager Michelle Reddick said the township will not have to pay back the grant if the township sells the sewer system.

The one thing that makes the Upper Pottsgrove system sale different is that the township does not own a treatment plant. It pays to send its sewage to the Pottstown Wastewater Treatment Plant on Industrial Highway.

As a result, the Pottstown Borough Authority, which owns and operates that plant, may have a say in the sale.

There is a "sewer services agreement" under which the authority agrees to accept and treat the township's outflow.

The authority would have to approve the re-assignment of that agreement to a new owner, or the new owner could negotiate a new agreement with the authority, explained Authority Solicitor Vincent Pompo.

Additionally, moving that agreement from a government body to a for-profit company would also require approval by the Pennsylvania Public Utility Commission, said Pompo.

New Trails Coming

In other matters, the board voted to seek bids for two trails, one in Sunset Park and the other on Fox Hill. 

A grant obtained through the Pottstown Metropolitan Area Regional Planning Commission's regional recreation committee will cover part of the Fox Hill trail, and another grant from the Pottstown Area Health and Wellness Foundation will cover part of the Sunset Park trail.

Bealer Chides Board for Stifling Questions 

And, as those of you who watched the video posted above, Bealer took the unusual step chiding the township commissioners last night for its refusal to entertain questions from the public during public meetings.

After invoking the spirit of liberty, freedom and the right to question one's government on which the nation's founding was based, Bealer noted that at a previous public meeting, a member of the audience audience had posed a question regarding "an action contemplated by their elected officials."

"That individual's voice could not be heard, however, because the immediate response from the chairman of the board was 'we don't do questions.'"

"I was disappointed my neighbor's request seeking additional information was so easily dismissed," said Bealer. "I'm hopeful going forward that my local elected officials will agree that having open and engaging public meetings will be their best policy."

And with that, click here to read the Tweets from the meeting.

Upper Pottsgrove Dissolves Planning Commission

With little fanfare, no input from the public and little-to-no public discussion, the Upper Pottsgrove Township Commissioners voted 4-1 Monday night to dissolve the township's planning commission.

The vote came at the end of a work session meeting at which the commissioners interviewed and chose a new pension investment advisor, CBIZ Investment Advisory Services LLC; got an update on the investigation of selling its sewer system -- an update from the public was barred -- and hired a special counsel to handle the sale of said system, should it come to pass.

After the special counsel was hired, Commissioner Martin Schreiber asked "are we voting at work sessions now? Because we used to try not to do that, to do it at a more public meeting."

"This is public," replied Commissioners Chairman Trace Slinkerd. "And we vote when we have to."

Slinkerd then asked for a motion to dissolve the planning commission, which was dutifully provided by Vice Chair Renee Spaide and seconded by Commissioner Dave Waldt.

Schreiber then asked "has anyone talked to the planning commission about this?"

Commissioner Cathy Paretti replied that given "the lawsuit, they don't seem to be interested in talking."

And with that, and no comment from the public, the vote was taken.

"The lawsuit" to which Paretti referred is likely the Jan. 17 filing made by Elwood Taylor, the former township commissioner and now former planning commission chairman.

Taylor's legal action sought no money or damages, but rather asked  the Montgomery County Court of Common Pleas to declare the "conflicts resolution adopted in August by the commissioners to be unconstitutional.

That resolution forbade sitting township commissioners from also serving on other boards, as several other board members at the time, including Taylor, did.

It was this resolution which seems to have been the trigger for the cascade of events that followed.

The short version is, Taylor refused to resign and said the resolution was unconstitutional. Before they could vote to remove him from the planning commission, Taylor asked for a hearing, a process set out in the law.

The township commissioners held the hearing in October but never took action on removing Taylor.

It soon became moot when he lost his reelection bid in November. He remained a member, and chairman, of the planning commission with a term that expired in December.

Four days after Taylor filed his motion, the township commissioners, with little public discussion, voted unanimously at its Jan. 21 meeting to advertise its intention to dissolve the planning commission.

Unable to attend that meeting, I sent Slinkerd an email afterward, asking him for the reason behind dissolving the planning commission.

He responded: "The intent is to vote on rescinding the ordinance on 3 Feb; the rationale is to create a planning committee (a provision provided by the municipal planning code) that supports the governing board," which is the board of commissioners.

Slinkerd added, "the majority of the board of commissioners feels that the current planning commission disposition does not do this."

Asked what "supporting the governing board" means, and for a specific example of the planning commission not providing said support, Slinkerd demurred.

"The ordinance status will be considered on 3 Feb where all commissioners can comment where appropriate," was his only reply.

There was little if any explanation and now the deed is done.

Presumably this means that all of the sitting planning commissioners are dismissed, with nary a word of thanks for their service.

It is not immediately clear what will replace the planning commission, although it seems likely that whatever comes next will be under control of the township commissioners, beginning with appointments.

Whoever the commissioners appoint, it's a pretty safe bet Taylor will not be among them.

It is also apparent there is no longer any concern about an appearance of impropriety with commissioners having "too much influence."

In August, Slinkerd justified the original resolution by writing "this is to maintain a separation of different spheres of influence that additional roles provide. This precludes commissioners from having to vote on an issue at a lower committee level then again at the BOC level as well."

This latest move seems to guarantee it.

Click here to see the Tweets, what few there are, from last night's meeting.

143 55-and-Older Homes Get Upper Pottsgrove OK

The first phase of the Kummerer Trace project, shown above and given preliminary/final site plan approval last night, calls for 143 homes on 49 acres between Pine Ford Road, Kummerer Road and Farmington Avenue.

The second phase would construct even more 55-and-older homes off Evans Road. The full project with both phases is shown above, at right.

With a 3-2 vote, Upper Pottsgrove Township Commissioners last night gave preliminary/final site plan approval to a plan that has not even been fully engineered yet.

Commissioners Chairman Trace Slinkerd and Commissioner Renee Spaide cast the two nay votes. The project won the support of Commissioners France Krazalkovich and Elwood Taylor, both of whom will leave the board at the end of the year, and Commissioner Martin Schreiber.

Township staff were wary of the decision. Township Solicitor Charles D. Garner Jr. wrote the lengthy resolution which passed last night and it contained a long list of conditions.

Township Engineer Pete Eisenbrown repeatedly told the commissioners that most plans of this size and complexity are much more fully engineered before coming up for approval.

"Usually the engineering is much more caught up than what we have now," he said noting that he had not even received an updated plan to review. The last one was submitted Sept. 18 and a more updated plan was submitted to the Montgomery County Conservation District, which rejected it, said Township Manager Michelle Reddick.

Saying things were moving "at lightning speed," she was the most outspoken in her warnings.

"In my 25 years working her as the zoning administrator I have never had a plan of this magnitude get preliminary/final approval in four or five months time," said Reddick. "It would normally take a year to a year-and-a-half. You need to serious consider what you are approving."

Developer John Benson, left, from Artisan Development Group,

at left, waits to address the Upper Pottsgrove Commissioners
during Monday night's meeting.

But the project received a full-throated endorsement from Taylor, who is also the chairman of the planning commission that recommended the preliminary site plan approval against, Reddick noted, the recommendation of the solicitor.

He pointed out that  when developer John Benson first submitted his plan, he expressed no interest in paying for off-site road improvements.

But now, Benson had committed to re-building and widening Pine Ford Road and Kummerer Road, "roads we had been budgeting to fix that we won't have to do now," said Taylor.

He also pointed to the $2 million in tax revenues the Pottsgrove School District will receive each year in property taxes, as well as the $200,000 the township tax coffers will receive each year.

"The school district will not have to build any classrooms for children living in these houses," Taylor said, noting that is largely guaranteed by the 55-and-older age restriction that will be place on the homes there, which will sell for about $325,000 each, according to Benson.

"It's a game-changer for the district and the township," Taylor said.

Under the terms of the lengthy resolution Garner wrote, which was being negotiated and changed right up until the vote, the final plans must still pass muster with Eisenbrown and Garner before construction can begin.

Benson said the push for approval is based on a desire to get the road improvements in place by next November.

"It we miss this window, we miss getting blacktop down by 2020," he said.

The resolution also include provisions for even more road improvements provided the township approves the second phase of the project along Evans Road within the next 18 months.

And with that, here are the Tweets from the meeting.

Age-Restricted Housing Approved

U. Pottsgrove Budget Won't Hike Taxes, Sewer Fees

The good news is it doesn't look like there will be either a tax hike, or a sewer rate hike in 2020.

The bad news is I had to sit through a nearly three-hour budget session in order to type the above sentence.

Ouch.

But that's why they pay me the big money right? So you don't have to sit through it.

So here are the basics:

• The overall draft 2020 budget calls for spending $3.5 million, with revenues of $3.2 million;
• The draft has a $365,387 operating deficit;
• But the budget also has a $1.4 million reserve;
• Not surprisingly, the draft calls for using money out of that reserve to cover the deficit, rather than raising taxes;
• The sewer budget calls for spending $2.4 million;
• The sewer budget also has an operating deficit of $469,891
• The sewer budget also has a surplus of nearly $700,000, which will be tapped to keep from raising sewer rates, already the highest in the region;

The largest single cost to the budget's general fund is the police department, with expenses of $1,688,535, which represents a 10 percent increase over the current budget.

Police Chief James Fisher said the 2021 budget will likely include another increase of at least 5 percent, depending on how much new equipment is needed. Driving police department costs are the 3 percent pay hike officers will enjoy in both years thanks to their contract.

Fisher himself, hired earlier this year, will not get his 3 percent raise until 2021.

Punctuating the discussion were the two varying views of budgeting which were highlighted in the most recent election campaign which ended Tuesday with a victory for the Republican candidates.

Longtime commissioner Elwood Taylor, who lost his reelection bid, continually pointed to the surpluses enjoyed in the general, sewer and open space budgets, noting that the township spent a little over $200,000 of the sewer reserves "to get $1 million worth of new pipes."

Taylor said "it doesn't exactly sound like the sky is falling to me," by way of getting in his last licks to defend his record.

On the opposite end of the budget philosophy spectrum was Chairman Trace Slinkerd and Vice Chairman France Krazalkovich, who argued that proper budget means expenses should match revenues and that relying on surpluses will eventually run afoul of changing demographics.

For example, said Slinkerd, as the township's median age gets older, the currently robust earned income tax revenues the township is enjoying will begin to fade.

I'll spare you the rest of the rhetoric.

Here are the Tweets from the meeting with some more details for those interested in that sort of thing:

Upper Pottsgrove Talks Budget

U. Pottsgrove Developer Pushes For Project Approval

The first phase of the Kummerer tract development.

Township commissioners resisted a high-pressure sales pitch Monday night from the developer who wants to build 143 singe-family homes on 49 acres bounded by Pine Ford Road, Kummerer Road and Farmington Avenue.

The project is designed for those 50 and older, which means while it would generate property tax revenue, it would have few school children, thus a windfall for the Pottsgrove School District.

Developer John Benson from Artisan Development Group said a financial impact study showed that each unit would have a positive financial impact of $7,700 to the township and school district.

Benson  wanted the board to grant preliminary and final site plan approval Monday, arguing that his builder, who remains unnamed but which he insists is one of the nation's top builders, is on a tight schedule.

But Pete Eisenbrown, from the township's engineering firm LTL Associates, said things are moving too quickly for a project of this size.

"It is not customary that plans this big move this fast," Eisenbrown told the commissioners.

According to the timeline outlined by Township Solicitor Charles D. Garner Jr., the plan was officially submitted in early July. It had preliminary site plan approval from the planning commission bu Aug. 12. It was revised again on Sept. 18 and by Oct. 15, the planning commission had voted on final site plan approval.

Benson said he wants to start construction, which he estimated will take seven years, in 2020.

"You have to pull the trigger sooner or later and I would hope you do before the next recession rolls in because they come out of nowhere," said Benson.

He said the second phase of the plan calls for nearly doubling the first phase by purchasing

The master plan for the full build-out of 279 homes.

more acreage along Evans Road, and eventually building 279 units and moving Kummerer Road to intersect with Evans instead of Farmington.

Benson said he was given assurances the township would move quickly on the project. 

Garner, in outlining the timeline, said that is exactly what has happened.

"The township has complied with everything it said it would try to do. I think this is moving at 100 miles per hour. That doesn't mean you can't approve it," Garner said.

Benson said  pledged to undertake a number of public improvements, including re-paving Pine Ford Road, fixing its intersection with Chestnut Grove Road and improving Kummerer Road as well.

He stressed that his project is allowed "as of right" and that he does not need to commit to the road improvements. At first he declined the allow the township an extension for further review, which meant they had to vote Monday night.

The municipal planning code gives municipalities 90 days to review most developments, unless the developer grants extensions.

"The first time I saw this plan was two weeks ago," said Commissioner Renee Spaide. "I feel like this is being shoved down our throat. I'm not comfortable making a decision on something this big."

Garner told them there were three options. Benson could grant an extension. The township could approve a resolution he drafted with 25 conditions, some of which called for more extensive road repairs than Benson had agreed to make. "Or you can vote to reject the plan," he told the commissioners.

Benson blinked and granted the township a one-month extension.

Don't think this will be over by then folks.

In the meantime, here are the Tweets from the meeting:

Planning at '100 Miles Per Hour'

Politics or Policy Revealed in U. Pottsgrove Hearing?

Photos by Evan Brandt

Township Commissioner Elwood Taylor, right, and his attorney Joan London, face the board of commissioners Monday night for the hearing about removing him from the planning commission, where he has served for 20 years.

Two major issues were addressed by the Upper Pottsgrove Township Commissioners Monday night and by the end of a very long evening, they had become entwined.

The site plan for 143 single family age-restricted homes
on 49 acres off Kummerer Road in Upper Pottsgrove.

First up was a review of a proposal to build 143 single family homes on 49 acres bounded by Pine Ford Road, Kummerer Road and Farmington Avenue.

A revival of several previous plans, the project means millions in tax revenue for the township and Pottsgrove School District without the added expense of more children in the schools.

That's because it is an age-restricted project for people 50 and older.

This map shows both phases of the age-restricted housing plan,
which would ultimately add 279 homes to the tax rolls.

It is also the first phase of a plan to nearly double that project, but not for at least three years, by purchasing more acreage along Evans Road, and eventually building 279 units and moving Kummerer Road to intersect with Evans instead of Farmington.

Officials from Artisan Development Group told the commissioners a top-flight builder has signed on for the project, and pledged to undertake a number of public improvements, including re-paving Pine Ford Road, fixing its intersection with Chestnut Grove Road and improving Kummerer Road as well.

Developer John Benson said a financial impact study showed that each unit would have a positive financial impact of $7,700 to the township and school district.

The project obtained preliminary site plan approval in August and Benson said he hoped to have final plans to the township within 60 days and that construction could begin by "the first of the year."

But that's not why you're really here.

You're here to find out what happened with the hearing on the attempt by the majority of the township commissioners to kick Commissioner Elwood Taylor off the planning commission, where he has served for 20 years.

Elwood Taylor, left, and his attorney Joan London, prepare
for Monday night's hearing.

Well let's get to it.

First of all, for those of you who haven't been paying attention, the commissioners voted 3-2 in
August to adopt "Resolution 703," which bars commissioners from serving on any other town boards or commissions, or the boards of any other organizations that receive funding or donations from the township.

In September, the same 3-2 majority voted to oust Commissioner Martin Schreiber from the Civil Service Commission. Commissioners France Krazalkovich and Renee Spaide voluntarily stepped down from their respective posts on the fire services committee and the parks and recreation commission, respectively.

But because state law lays out a specific procedure and, more importantly, reasons for for the removal of a planning commissioner, the most the board could do last month was vote to notify Taylor that they intend to vote him off the planning commission.

The reason they've concocted is his refusal to comply with the resolution which, according to the three-vote majority, is needed to prevent the appearance of conflict. Since then, lots of conflict has appeared on the board.

That brings us to last night and the official hearing at which Taylor is in the bizarre position of arguing before the very people who have indicated their intention to remove him from the planning commission, that they shouldn't remove him from the planning commission.

As the "defendant," Taylor could not participate in the closed door executive session the commissioners held with their solicitor, Charles D. Garner Jr., prior to the hearing. It also means only four commissioners vote so if one changes his or her mind, the vote is a tie.

As unlikely as that seems, Taylor and his lawyer, Joan London of the Wyomissing firm of Kozloff and Stoudt came in swinging. They called six witnesses, including Commissioners Chairman Trace Slinkerd, the very person who has headed up the push to adopt the resolution.

Upper Pottsgrove Commissioners Chairman Trace Slinkerd,
second from left, is sworn in to answer questions from
attorney Joan London, facing the board.

Former commissioners Russ Noll, John Bealer and Pete Dolan, joined Planning Commission Vice Chairman John Ungerman and Taylor himself in the witness chair. Slinkerd testified from his side of the table.

All but Slinkerd testified to Taylor's dedication to the township and the complete absence of any whiff of conflict of interest or "undue influence," the very things resolution 703 was adopted to prevent.

London established, through the minutes, that the idea of Resolution 703 was first discussed in February of 2018, right after Slinkerd ousted Taylor from the chairmanship of the board of commissioners.

It doesn't show up again in the record until July, although Slinkerd testified it was discussed at at least two work sessions in 2018, discussions that were not recorded in the minutes apparently.

The record also shows that despite indicating in July that the matter would not be taken up again until October and implemented in November, when the board re-organizes. However, it showed up on the agenda for the August meeting for "consideration," and was summarily passed with Taylor and Schreiber voting against it.

In September, Schreiber was removed from the Civil Service Commission, ironically, on the same night the board hired a new police chief, after he refused to resign. That same night, the board also voted to begin the process of removing Taylor, voting to give him the notification required by law.

Despite the fact that Taylor remains chairman of the planning commission until removed, Slinkerd took the unusual step of canceling the September planning commission meeting, something in the planning commission chairman's purview.

Attorney Joan London, standing, reviews state law governing the
removal of planning commission members with Trace Slinkerd, 

while Commissioner France Krazalkovich, left, and

Township Solicitor Chuck Garner, observe.

He testified last night he did so after consulting with other commissioners, although Schreiber later Tweeted he was never consulted. Nor was Taylor.

Slinkerd testified he took the step to ensure the planning commission members and Township Manager Michelle Reddick did not become embroiled in the conflict.

Taylor and his lawyer suggested it may have had more to do with the fact that the Kummerer tract was to be discussed that night. (You were wondering when the "intertwining" I mentioned earlier was going to show up weren't you?)

"It seemed more than coincidental that I was being sidelined from my work on the township planning commission when it was in the middle of reviewing the most consequential development the township has ever dealt with, worth many many millions of dollars in township revenues," Taylor testified.

"Also, that they were bringing my good name and work into question at the time time I am running for reelection to my seat on the board of commissioners," Taylor testified. "They have gone out of their way and are using precedent-setting legal maneuvers to affect a power grab that will turn term-appointed positions into serve at the pleasure of the board of commissioners."

Taylor argued that if he loses reelection in November, he could have remained on the planning commission until his term runs out at the end of 2020. And, if he wins, his term on the planning commission would last only one more year.

"How could I not suspect that these extraordinary measures were not meant to target me and my ability to serve my community when the board of commissioners could have simply avoided this controversy by including a 'grandfather' clause in their resolution and allow me to complete my final four months of service without dragging me through the dirt?" Taylor testified.

"Ironically, while purportedly wishing to address the appearance of wrongdoing, it appears that the board of commissioners majority has acted in ways that bring their motives into question," he said.

His case now having been made, Taylor awaits the decision by the board of commissioners.

It remains to be seen how the case and its ripples will affect the election.

And with that, for those of you who are still with me, here are the Tweets from the meeting:

Policy or Politics? You Decide

Political Split Marks Fractious U. Pottsgrove Meeting

Photo by Evan Brandt

WELCOME CHIEF: In one of the non-fraught moments of last night's politically charged commissioners meeting, James Fisher was sworn in as Upper Pottsgrove's new police chief

If you ever wanted a primer on local politics in action, Monday night's Upper Pottsgrove Commissioners meeting could have taught you most of what you would want to know.

Any number of major issues on which the commissioners must decide, the vote was divided 3-2, with commissioners Elwood Taylor and Martin Schreiber representing the minority, and Chairman Trace Slinkerd, Vice Chairman France Krazalkovich and Commissioner Renee Spaide representing the majority.

Whether it was the potential sale of the sewer system, a new fire services agreement, removing Schreiber from the civil service commission or removing Taylor from the planning commission, the divisions were clear.

Sewer Sale

On the subject of the potential sale of the township sewer system, Schreiber pressed for updates was told by Slinkerd "the same as last time."

When Schreiber asked about legal costs for investigating the sewer issue, he voted against paying the bills saying they should be paid out of the general fund, not the sewer fund, since the whole township will benefit from the sale of the system.

Schreiber then motioned for the commissioners to commit to two public meetings during which the sewers would be discussed before a vote.

Slinkerd opposed it, saying the information from the consultant should be obtained first. "Otherwise we're flying blind here," he said.

"It is a big decision about a complex issue people are not necessarily familiar with. It will take a lot of education," and the board should extend public involvement, said Taylor, "not just a slide show."

On this, Krazalkovich voted with Taylor and Schreiber saying he hoped the motion was not being done in an effort to "create obstacles."

Krazalkovich indicated the commissioners regularly scheduled meetings would suffice as public meetings to inform the public about a multi-million-dollar sale of its sewer system, thus it seems a special town-wide single-subject meetings like the one for the failed effort to build a $2 million new highway garage would not be scheduled.

But perhaps the fact that the sale of the sewer system has become a subject of posts on a Facebook page Taylor, running as a Democrat, has set up for his reelection effort spurred the public's interest.

Cathy Paretti, a Republican candidate for commissioner, said "we have millions in debt, underfunded pensions, it will take time and drastic measures to correct all this," putting her in apparent agreement with Slinkerd, who himself raised these points in his comments last night, as he has before.

"I don't know why we are having a hard time letting an independent contractor take over the sewer system. If we do not sell the sewer system, we will have to borrow more money to hook up failing systems," said Spaide, reading from a prepared statement.

Complimented afterward on her remarks, Spaide was overheard to say she was motivated by "money being flushed down the toilet," an image Taylor used in one of his posts.

New Fire Services Agreement

The memorandum of understanding that governed the relationship between the township and Upper Pottsgrove Fire Company No. 1 for 13 years was replaced Monday night by the same 3-2 vote margin.

The issue has been discussed for months, with discussion stalled, according to Krazalkovich, by the failure of the fire services committee to meet to go over it. When they did, they raised only one objection and Krazalkovich changed the agreement to accommodate them.

But Schreiber, who resigned as the president of the fire company in the wake of the township commissioners' adoption last month of a resolution barring township commissioners from serving on other boards or commissions that receive funding from the township, said the fire company itself did not get the final draft until Monday morning.

The final draft was merely the merging of the two drafts the fire company has had for months, said Krazalkovich who, with the adoption of the new agreement also resigned from the fire services committee.

The Main Event

The aforementioned resolution resulting in all the resignations goes by the unpretentious designation of "Resolution 703."

What its unremarkable title belies is the sea change in power dynamics in the township that it represents. It requires all township commissioners to step down as a board member from any township organization or community that receives funding from the township.

In a legal opinion provided to the board in apparent anticipation of the conflict to come, Township Solicitor Charles D. Garner Jr. wrote that the resolution itself does not have the legal authority to remove members who refuse to resign -- as is the case with Taylor from the planning commission, or Schreiber from the civil service commission.

However, in both cases, the resolution does provide the basis for their removal. In Schreiber's case, by simple vote because "the power to appoint is also the power to remove."

In Taylor's case, the law gets in the way of this exercise of power, Garner wrote. The same law which specifically permits township commissioners to serve on planning commissions, also provides the methodology for the removal of a planning commission member.

For 12 years, as Slinkerd outlined it, Elwood Taylor was not only the president of the board of commissioners, but the chairman of the planning commission as well.

"It's too much," said Slinkerd. 

"You are the one who is making it personal," Slinkerd said, moving on to make a personal insult. "The planning commission will not fall on its face without you. Your ego is getting out of control here Elwood."

Krazalkovich tried to play the role of peacemaker, pointing out to Schreiber that he had previously expressed reservations about commissioners wearing too many hats. He told Taylor that he did not question his ethics and they always treated each other with respect. 

He urged both to choose what they had done in other venues, Schreiber resigning from the fire company and Taylor from the board of Green Allies, which runs the Althouse Arboretum and receives annual funding from the township.

Schreiber Was Removed First

Both refused, with Schreiber pointing out that his term on the civil service commission ends in three months "and if you don't want me to serve there, don't re-appoint me."

Taylor said he was particularly worried about the precedent being set with the civil service commission, which oversees police hiring and whose members serve for six-year terms, meaning they see at least two elections during which new township commissioners may be elected.

"It brings to mind the appearance of undue influence, the very thing you say you are trying to prevent," said Taylor. "If people can be vacated at will from a 6-year term when a new board is elected, there will be no more independence from the board of commissioners."

When the legal precedent has been set "that any member of any board can be terminated at any point in time for any reason is very dangerous. The danger is when commissioners have too much power, not members of other boards," said Taylor.

Already, noted Taylor, there has been a break from precedent in the hiring that night of the new police chief.

"It was a much more limited search than we've done in the past and the president insisted on interviewing all the candidates alone, prior to other board members. It certainly has the appearance of undue influence," said Taylor. "What was said? What was promised?"

Slinkerd pointed out Taylor had been given the opportunity to interview the chief candidates and chose not to. "This is about reducing commissioner influence," said Slinkerd.

With Schreiber abstaining, not doubt to avoid the appearance of undue influence on a matter that affected him, the board voted 3-1-1 to remove him from the civil service commission.

Taylor's Removal Will Take More Time

As Garner outlined in his letter, removing Taylor, or anybody, from the planning commission can occur by a majority of the board of commissioners, due to "malfeasance, misfeasance or non-feasance in office, or for other just cause," according to the statute.

In this case, Taylor's refusal to comply with Resolution 703 provides the "just cause" for his removal, Garner wrote.

The law requires that he be given 15 days advanced notice "of the intent to take such a vote," which is what happened last night.

The same law also allows for a hearing and, at Taylor's request, it can be held in public. However, the law does not outline before whom that hearing will be held so, as it turns out, Garner said it will be held in front of the very same board that just voted to remove him.

Further, because the matter concerns him, Taylor will not be as member of the board for the purposes of the hearing, said Garner. If Taylor does not like the result of the hearing, a likely result, the next step is to take it to the Court of Common Pleas, said Garner, an occurrence of which he could find no prior incident. 

"We're on new ground here," Garner told the board.

In more ways than one, said Taylor. He carefully questioned Garner about the legalities and Garner assured him that until the final vote, Taylor is still a member of the planning commission and its chairman.

So Slinkerd's decision to cancel an upcoming planning commission meeting, without consulting Taylor or seeking his consent, certainly smacks of Slinkerd exercising "undue influence" outside his authority, Taylor argued. Just as Slinkerd had declared last month's vote on Resolution 703 to have "created vacancies" on the planning commission and civil service commission, an assertion Garner confirmed as not correct.

"We didn't want to put the planning commission in the middle of this," said Slinkerd. He noted that should Taylor exercise his prerogative to call a planning commission meeting, "the president and the vice president control the administrative staff."

Without any apparent irony, Taylor defended his record of holding both posts by responding to Slinkerd that "I do not think consolidation of power in two or three individuals is a good idea."

Open Space Committee Chairman Dennis Elliott said when held both the president's position and the planning commission chairmanship, "it was the appearance of total control. We live by system of checks and balances. If you are in charge of all these agencies, not getting fresh viewpoints."

Taylor said he never bullied, coerced or "threatened to throw them off the board" during his tenure, nor did he withhold information "as been done with me for the last several months. I get the feeling I am just supposed to show up and nod my head."

He told Elliott he led by consensus, not fiat. "I never had power to dictate or command, but power to bring consensus. I did not have power to coerce, but the power to convince."

Taylor's rhetoric changed little, with the board voting by the same 3-2 split to begin the process of his removal from the planning commission.

And now, if you're still with me and you want the blow by blow, check out the Tweets from the meeting below.

'We're on New Ground Here'

Upper Pottsgrove Moves Closer to Sewer System Sale

Township commissioners took the next step forward Monday night toward selling the sewer system.

With a unanimous vote, the board voted to approve the deal with PFM, once known as Public Finance Management, for the assessment of the system and to identify potential bidders.

Under the agreement approved, PFM will be paid $50,000, plus $1.5 percent of the sale price, but only if the system is ultimately sold.

"This is just looking at and evaluating," said Commissioners Chairman Trace Slinkerd. "If we go through this process and pull out, we don't pay anything."

Commissioner Elwood Taylor said he remains doubtful, especially considering that if the preliminary figures PFM showed the township are right, ratepayers won't save that much money, if any, and will have a sewer service provider less accountable than one run by elected officials.

"I am of the philosophical position that if the private sector can do it better, it ought to," said Commissioners Vice Chairman France Krazalkovich.

He said Upper Pottsgrove sewer rates have doubled in last 13 years, and one potential buyer has not raised rates in nine years. But Taylor noted that Krazalkovich picked 13 years because of the big increase 13 years ago and that for the last 12 years, sewer rates have been steady.

Commissioner Renee Spaide said rates went up 71 percent in 2007 and that more work on the system is needed, so rates will have to go up.

Slinkerd reminded everyone that in addition to paying off the debt, the proceeds of the sale could be used to repair township buildings as well as provide a cushion in the township budget.

But resident Keith Kehl pointed out that those in the township who are not hooked into the sewer system have not paid into it and therefore should not benefit from it's sale.

In the meantime, repairs and expansion of the system continues with the 3-2 vote to advertise for bids for the second phase of the Regal Oaks sewer project, which will hook up 26 homes within the Regal Oaks development and six more on the west side of Gilbertsville Road. 

Commissioner Martin Schreiber and Krazalkovich both vote against the motion, with both questioning why more of the project is not using gravity as opposed to the grinder pumps it calls for in some homes.

Owners of those homes object to this aspect of the project as the pumps can break down and will need to be maintained and repaired.

The engineers for the project explained that running the line for gravity for all homes would involve many easements and increase the costs.

Taylor also noted that running the line down the street would require many homeowners to "reverse their plumbing," which had previously been oriented to go out the rear of their homes, thus saving them thousands.

Nevertheless, the project will involve tearing up portions of Rose Valley Road, which was just re-paved within the past three years.

Government at its finest folks.

And with that, here are the Tweets from the meeting:

Sewer System Sales and Sewer Projects

Upper Pottsgrove Ponders Selling its Sewer System

Photos by Evan Brandt

Upper Pottsgrove Commissioners Chairman Trace Slinkerd outlines some of the financial challenges facing the township in the coming years.

Despite the fact that it does not own a sewage treatment plant, Upper Pottsgrove Township has been approached by two private companies about selling its sewer system, it was revealed during a work session Monday night.

The revelation was a while in coming, as Commissioners Chairman Trace Slinkerd began the discussion by talking about the financial challenges the township faces and he made no mention that he was trying to outline how selling the sewer system might alleviate some of those challenges.

But Commissioner Elwood Taylor pressed to make it clear to the small audience at last night's meeting.

After the meeting, Sewer Committee Chairman and former commissioner John Bealer said the township was approached by Aqua PA and Pennsylvania American Water about selling the system.

Ever since the passage of  Act 12 in 2016, private utility companies like Aqua and PA American Water have been on a buying spree.

The act changes the way the systems are valued and allows municipalities to charge much more to sell the system than they previously did. This makes overtures from private companies much more attractive because the sale prices are much higher.

Just last summer, Limerick Township sold its system for more than $75 million to Aqua PA, in a move that allowed the township to eliminate debt and fund several capital projects, but may also mean a rate hike for Limerick customers of as much as 84 percent.

To be fair, Limerick's annual average sewer rate of about $384 will be frozen for three years under the law. And Upper Pottsgrove's annual bill is about $860, one of the highest in the area.

That may be because the system has about 1,600 "equivalent dwelling units," which is how sewer charges are calculated, that together have to should the nearly $9 million in debt it cost to expand the system to homes with failing septic fields and failing systems, like the Regal Oaks subdivision off Gilbertsville Road.

Bearler said about 35 percent of the quarterly sewer bill goes to debt service on the system extension.

If the system is purchased, the debt would still be owed by the township, he said, so that would likely be the first place the money from the sale would be spent.

Bealer said because rates are often frozen for three years under the tenants of the law, as was the case in Limerick, the system might be attractive to private buyers because of the profit margin of higher rates to pay off a debt that no longer exists.

He said he would only support the sale if it could lower rates for customers, which both Krazalkovich and Slinkerd suggested could happen.

However, Upper Pottsgrove does not own a sewage treatment system, unlike Limerick.

Instead, Upper Pottstown, along with Lower Pottsgrove and West Pottsgrove townships, send their sewage to the Pottstown Wastewater Treatment Plant, owned and operated by the Pottstown Borough Authority.

There is no price determined yet and the township commissioners met in closed door executive session at the end of the meeting to discuss the matter. Comments by Slinkerd suggest that the municipal financial firm of PFM may be who he has in mind to determine that price.

But even without a price, Slinkerd and Vice Chairman France Krazalkovich were ready to start discussing how that money could be spent, including retiring the sewer debt, as well as funding improvements to the township's buildings.

However Taylor warned that once the system is gone, customers would no longer have the ability to complain about or dispute their bills with their local government, and would instead have to contend with a large corporation.

"Our people will not have a say," said Taylor, noting that local politicians are easier to replace than big corporations.

Krazalkovich, pointed out that local government tried to control trash collection in town and that did not work. But people saved money after the townwide contract expired and was abandoned because people had a choice of which hauler to chose. There was competition.

That will not be the case with a sewer system, said Taylor. "This is a monopoly interested in making money. The local government is not interested in making money," he said.

Slinkerd said that Fortune 500 companies like Aqua and PA American Water are better equipped to manage sewer systems than small townships. "Profit is not evil," he said.

PAL Carnival Coming?

Seth Lawrence talks about how the proposed carnival would be 

arranged on the PAL site in Upper Pottsgrove.

Before the Upper Pottsgrove Commissioners started talking shit (whoops), they heard from Seth
Lawrence about the Pottstown Police Athletic Leagues efforts to stage a carnival and fireworks at its fields off Chestnut Grove Road.

The carnival is planned for five days at the end of May and beginning of June, said Lawrence.

The group is hoping 4,000 to 5,000 people will visit over the five-day span, said Lawrence, who noted that the site currently has 1,000 parking spaces.

Concerns were raised about the impact of the event on neighbors of the site; safety; and the fact that currently, the township zoning code does not allow such events there.

Lawrence said the event would be similar to the fair the Norco Fire Company stages each year in July, and that the fireworks planned would last for 25 to 30 minutes.

More discussions are needed before the matter is decided, but the group is on a tight time-line and we might see some votes at the board's next meeting on April 15.

And with that, here are the Tweets from the meeting:

Shall We Sell the Sewers?

Pension Tension in Upper Pottsgrove Township

Photos by Evan Brandt

Upper Pottsgrove Public Works Director Justin Bean points out the areas of Pine Ford Road his department intends to have paved this summer during Monday night's board meeting.

Monday night's commissioners meeting was not much more than an hour, but it was not without controversy.

Not controversial, but always of great interest to driving taxpayers, was Public Works Director Justin Bean's outlining of which roads will be paved this summer.

The winners are Pine Ford Road, from Farmington Avenue to Pine Ford Road and Kummerer Road, from Pine Ford Road to Farmington Avenue. Congratulations to all of you who guessed right.

Also uncontroversial, but obviously needed, was the appointment of Jeannie DiSante, an Upper

Jeannie DiSante gets surprised by a photographer after her 

appointment to the township's financial staff is announced.

Pottsgrove native who most recently worked in Colebrookdale Township, to take the helm of the township's finances.

I say needed because not only did Township Manager Michelle Reddick inform the board that the fire company number used for the 2019 budget was incorrect; but there appears to be some dissent on the board of commissioners about how to deal with a $1.2 million shortfall in the combined pension funds for the township employees.

So it likely won't be long before DiSante's financial expertise will be called upon.

The board voted 3-2 last night to increase the pension contribution made by the non-uniformed employees of the township, which had stood at 2 percent. Police employees pay 5 percent of their salary, the maximum allowed by the state.

There are eight non-uniformed employees and nine police (uniformed) employees in the plans, according to a worksheet prepared by Taylor and shared with me.

The approved motion will increase the non-uniformed employee contribution by one percentage point a quarter until it is at 5 percent as well by the end of the year.

The motion, which was opposed by Commissioners Elwood Taylor and Martin Schreiber, was supported by Commissioners' Chairman Trace Slinkerd, Vice Chairman France Krazalkovich and Commissioner Renee Spaide.

Krazalkovich said the combined uniformed and non-uniformed pension plans have $1.2 less than they should to be "fully funded." According to Taylor's worksheet,  the pension has 3,414,684 in assets but $4,621,462 in liabilities.

Taylor pointed out that increasing the contribution for non-uniformed employees will not come anywhere close to closing that gap, a fact Slinkerd acknowledged.

According to Taylor's work-sheet, the increase imposed on the non-uniformed employees will only add $14,238 to the pension fund, far short of the shortfall.

But it will cost each non-uniformed employee an additional $1,780 this year, a 150 percent increase for them, while the township will contribute no additional money.

It is money which they will get back, as Slinkerd pointed out testily, but not for dozens of years, Taylor replied, and all to make a drop in the bucket to a much bigger problem. He calculated the increased cost to the non-uniformed employees will bring the combined pension fund from 73.9 percent funded to 74.2 percent funded.

Further, said Taylor, the township's contribution to the police pension fund dwarfs its contribution to the non-uniformed employee pensions, whose 2 percent contribution was until last night matched by a 2 percent contribution by the township.

For non-uniformed employees, they paid $1,186 at 2 percent and will pay $2,966 as a result of the vote, while the township contribution stays as $1,106.

For the police, on the other hand, the employees pay 5 percent and the township contributes 18 percent.

That means each police officer contributes $3,713 each year and the township contributes $13,605 for each officer each year. Additionally, police can start collecting their pension at 55 whereas the non-uniformed employees must wait until they are 65, Taylor pointed out.

More befuddling is it was not entirely evident that the board has a grasp of the full scope of the problem, or of its ultimate cause, but that didn't stop them from implementing a solution.

It is a solution, by the way, that it is not clear the township's pension board -- comprised of employees and township officials -- recommended or is even aware of.

After Schreiber made a motion to table to the vote to find out the pension board's position on the matter, Taylor seconded it but it was defeated by the same 3-2 split.

And when Taylor asked if the pension board had made a recommendation for the motion, Slinkerd looked at him, blinked, and turned his head and asked if there were any other questions.

Then they voted.

That's how public questions about public money get answered now in Upper Pottsgrove I guess.

Here are the Tweets from the meeting:

Pension Tension