Ninety percent federal funding cuts threaten to shift massive wastewater costs onto residents

Key Points

  • Proposed 90% federal funding cuts to the State Revolving Fund threaten to shift a multi-billion dollar wastewater burden onto local taxpayers.
  • The operational goal for the town-wide sewer system is now set for 2028 following the award of a 2.5-year contract to Digit Construction.
  • Homeowners face estimated connection costs between $20,000 and $40,000, with officials pointing to 30-year tax bill financing as a primary relief measure.
  • Sewering the Mattacheese Middle School site is being prioritized as a necessary step to "unlock" the land for future municipal housing projects.

Yarmouth officials are sounding the alarm over a potential financial collision as the town balances multi-million dollar infrastructure projects against a backdrop of shrinking federal support. During the August 4 meeting of the wastewater committee, Select Board representative Mark Forest warned that proposed federal cuts to the State Revolving Fund (SRF) could leave Cape Cod communities to shoulder a staggering five to six billion dollar burden alone. Forest noted that the state is increasingly viewing wastewater as a local issue rather than a regional or state priority, stating, If this is all on us, very few of us are going to be able to afford to live here.

The financial warning comes as the town clarifies the long-term timeline for its ambitious sewer expansion. While construction is visibly progressing, Michael Rabideau reported that the newly awarded Contract 5, granted to Digit Construction, will span two and a half years. This timeline pushed Chairman Jeff Colby to seek a definitive answer on the system's launch. So we wouldn't be operational until 2028? Trying to get a realistic calendar year, Colby asked. Rabideau confirmed that 2028 is the current target for operational status. Committee member John shared these fiscal anxieties, noting that while trunk line financing is secure, the town faces a looming financial cloud as it juggles sewers, the Mattacheese school project, a new library, and a fire station. I think the more public awareness about the financial cloud, the better, John remarked. I wouldn't want the town to end up with a financial collision.

Resident concerns focused on the direct hit to household budgets. One homeowner from the Bass River area questioned the feasibility of connecting to the system in 2028, citing estimates of $20,000 to $40,000 for private-side work. Is there a fund available to people? How are we providing enough people to work on that—plumbers and work people—when it comes around? the resident asked. Chairman Colby explained that residents could potentially offload these costs onto their real estate tax bills over 30 years or utilize the county’s Community Septic Management Program for 20-year financing. However, Colby admitted that a regional shortage of contractors remains a significant hurdle for the thousands of Cape residents expected to connect simultaneously.

The future of the Mattacheese Middle School site also took center stage during public comment. Shirley, representing the Mattakeese School Utilization Committee, inquired if the town could accelerate sewering for the Buck Island and Higgins Crowell Road areas to support potential housing developments. I would love to know the process if the Mattakeese Utilization Committee were to obtain funding to work on design engineering... for potential housing, she said. Forest responded that sewering the site is the key to unlock the development potential for town-owned land, suggesting that while Phase 1 is locked in, the sequencing for Phase 2 and beyond remains flexible to meet town goals.

In construction updates, Lou Ragozzino of Wright-Pierce reported that the water resource recovery facility is taking shape, with sheet piling completed and excavation beginning. The team is currently eying the Bay Hills Golf Course for additional treated effluent disposal, with pilot testing scheduled for the winter months. On the collection side, work on Old Main Street continues via Robert B. Our, while Rivoli has suspended operations until after Labor Day to avoid peak season traffic. Member Mark Forest emphasized the need for strict enforcement of summer work bans in new contracts to avoid past disruptions, noting, I don't want to be talking about them in the middle of next summer. Rabideau assured the committee that the Memorial Day to Labor Day shutdown is a non-negotiable permit condition for the upcoming Digit Construction contract.

To address growing public anxiety regarding traffic and construction noise, the committee is planning a coordination meeting with school bus drivers and public safety officials on August 25. John pointed out that current diversions onto Kemp Street have already turned the intersection at Route 28 into a nightmare that will require close monitoring once Contract 5 begins this autumn. A wider public information session is also slated for October to prepare voters for the November Town Meeting. Colby suggested the session should include maps and a live Zoom feed to ensure maximum transparency before any new funding requests reach the floor.

The committee also explored environmental protections beyond nitrogen removal. Mark Forest introduced the Cape Cod Commission’s Freshwater Initiative, which tracks threats to local ponds and streams. Colby voiced support for the initiative, noting a particular need to educate the real estate and landscaping industries. Realtors, lawyers, and contractors who work cutting trees need to be educated, Colby said. I'm astounded how many potential homeowners don't even look into [conservation rules]. Members Mary, Lee, George, and David participated in the session, focusing on the procedural oversight of the ongoing contracts and the local comprehensive plan.

In routine business, the committee addressed the previous month's records. Motion Made by David to Accept the July minutes as presented. Motion Passed (4-0-0), with Forest and John abstaining as they were not present at the prior meeting.