WPCA approves $460,931.43 transfer to capital reserve after FY26 surplus

The Litchfield Water Pollution Control Authority voted July 9 to move $460,931.43 from its general Fund 31 balance into Fund 66, the WPCA capital construction reserve, leaving $400,000 in the operating fund.

Commissioner William Buckley moved the transfer and Commissioner John Bongiorno seconded; all members present voted “aye” and the motion carried. Commissioners agreed a $400,000 minimum reserve was appropriate (roughly one year of average operating expenses based on the prior three years).

Plant Superintendent Ted Donoghue reported FY26 closed with a preliminary surplus of about $144,000, subject to final encumbrances. He said costs for FST (Frac Storage Tank) work totaled roughly $183,000, including a final invoice to Spectrum for $37,347, and that most FST costs are expected to be reimbursed. Donoghue also reported approximately $300,000 in unanticipated revenue was recently received, including a delinquent usage payment from Arethusa Dairy with interest.

Commissioners reviewed the Munis fund balance report, which showed a total fund balance of $860,931.40 and a Fund 66 balance of about $651,568. They also discussed a separate sewer assessment account (approximately $725,000) that reflects older, lien-backed assessments and requested follow-up on where interest earned on town-held Authority funds is tracked and what the original financing source was for certain assessment districts.

Motion on minutes: earlier in the meeting Commissioner Buckley moved and Commissioner Honan seconded to accept the public hearing and special meeting minutes from June 18, 2026; that motion also carried unanimously.

The WPCA assigned follow-up tasks: Donoghue will query Town Finance (copying Levesque and Bongiorno) about interest tracking on town-held funds and will connect Commissioner Bongiorno with Sandy to review the history of the sewer assessment account.