Town Wishes To Buy Milford Water Company: Finance Committee

MILFORD, MA—The town's finance committee voted unanimously, after "deep analysis of the issue for some time" that it was in the town's best interest to buy the Milford Water Company.

"After the long investigative process, a clear and unanimous conclusion was reached that the acquisition of the MWC was the right decision for the residents of Milford," the committee wrote in a letter to Town Meeting members to urge them to put the article on the special town meeting warrant. The acquisition would reportedly cost $63 million, according to Wicked Local Milford.

The Milford Water Company is reportedly pursuing a 30 percent rate increase, the committee said it anticipates its proposed rate for the acquired company to be "very similar." The rates would allow for significant capital improvements focused on improving the quantity and quality of water.

"If the town acquires the MWC, it ultimately would have no lasting impact on the operational budget of the town," wrote FinnComm. "The Milford Water Department would operate fiscally independent of the town. The water department would collect the revenue from the sale of water as well as pay all expenses involved in the water delivery process. Simply said, whatever occurs within the Milford Water Department would not affect any other part of the town. The only exception to this would be the temporary use of town funds to finish the legal and professional consulting process and provide opening operational cash for the newly created department. These funds would then be paid back to the town from the water department on a schedule that would be established by the Milford Water Commissioners."

Those using Milford water would fund the purchase, and the costs would be built into the users' bills.

FinnComm says the purchase would be significantly beneficial to the town, and would be funded through a 30-year-bond paid by water rates. At the end of those 30 years, the town would fully own the water company.

"The financial benefits of the acquisition are clear, but it is the ability to monitor, price
and work on the quality of our water supply that is priceless," wrote FinnComm.

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