Frequently Asked Questions and Answers - Click here for PDF Version
Why merge?
The Village Board of Trustees and Town Selectboard believe we will be stronger together as one united community. We can work as one to plan for the future, attract and retain a vibrant business community, protect our natural resources, restore and enhance our infrastructure, improve our services, overcome challenges we face, and establish ourselves as Vermont’s premier livable community. Click here to read a brief history on the home page.
The Village Board of Trustees and Town Selectboard believe we will be stronger together as one united community. We can work as one to plan for the future, attract and retain a vibrant business community, protect our natural resources, restore and enhance our infrastructure, improve our services, overcome challenges we face, and establish ourselves as Vermont’s premier livable community. Click here to read a brief history on the home page.
Aren't we already merged?
The current governance structure we have now is two separate municipalities with separate charters, sharing some municipal services under contract. The Village of Essex Junction is an incorporated municipality within the municipality of the Town of Essex. Starting in 2013, in an effort to improve services across the entire Essex community, some municipal services were consolidated. These consolidations have reduced the amount of taxes the municipalities need to raise – a combined savings of more than $2.8 million (see below for breakdown of savings).
The current governance structure we have now is two separate municipalities with separate charters, sharing some municipal services under contract. The Village of Essex Junction is an incorporated municipality within the municipality of the Town of Essex. Starting in 2013, in an effort to improve services across the entire Essex community, some municipal services were consolidated. These consolidations have reduced the amount of taxes the municipalities need to raise – a combined savings of more than $2.8 million (see below for breakdown of savings).
Why are we doing this now?
Each year that passes increases the cost of merging. Although consolidation efforts lowered the cost since the 2006/2007 vote, as long as Village taxes continue to increase, the tax impact of merger on residents outside the Village grows. To continue consolidation efforts, the Town of Essex Selectboard and the Village of Essex Junction Board of Trustees have met jointly for the past few years and much research has been done by a joint Governance Subcommittee on possible governance structures of a merged municipality. Public input was also gathered via resident surveys and listening sessions.
Each year that passes increases the cost of merging. Although consolidation efforts lowered the cost since the 2006/2007 vote, as long as Village taxes continue to increase, the tax impact of merger on residents outside the Village grows. To continue consolidation efforts, the Town of Essex Selectboard and the Village of Essex Junction Board of Trustees have met jointly for the past few years and much research has been done by a joint Governance Subcommittee on possible governance structures of a merged municipality. Public input was also gathered via resident surveys and listening sessions.
Why is the Village tax rate higher than the Town’s
The Village is part of the Town so it has the same tax rate for paying taxes to the Town to support the Town’s municipal services. Added to that is the Village tax rate which pays for municipal services provided by the Village government. Town residents outside the Village don’t pay taxes to the Village government.
The Village is part of the Town so it has the same tax rate for paying taxes to the Town to support the Town’s municipal services. Added to that is the Village tax rate which pays for municipal services provided by the Village government. Town residents outside the Village don’t pay taxes to the Village government.
Why do the Town and Village share some services but not others?
Over a hundred years ago the State allowed the village area of Essex Town to incorporate itself as a separate taxing and governing authority within the Town. The village, now known as Essex Junction, was becoming densely populated and needed municipal services that the Town didn’t provide. The State still considered the Village to be part of the Town. As the rest of the Town grew and developed the Village was required to help pay for municipal services outside the Village as well as paying for its own municipal services within the Village. Over the years the Town and Village governments have integrated some Village municipal departments into the Town so that the cost is distributed throughout the community. But some Village municipal services – Brownell Library, capital repair costs, community development, fire department, and recreation – remain separate. Village residents support those services in the Village and also help support Essex Town’s library, capital repair costs, community development, fire department, and recreation. Merging the Town and Village governments would dissolve the Village government and integrate those remaining services under a single town government.
Over a hundred years ago the State allowed the village area of Essex Town to incorporate itself as a separate taxing and governing authority within the Town. The village, now known as Essex Junction, was becoming densely populated and needed municipal services that the Town didn’t provide. The State still considered the Village to be part of the Town. As the rest of the Town grew and developed the Village was required to help pay for municipal services outside the Village as well as paying for its own municipal services within the Village. Over the years the Town and Village governments have integrated some Village municipal departments into the Town so that the cost is distributed throughout the community. But some Village municipal services – Brownell Library, capital repair costs, community development, fire department, and recreation – remain separate. Village residents support those services in the Village and also help support Essex Town’s library, capital repair costs, community development, fire department, and recreation. Merging the Town and Village governments would dissolve the Village government and integrate those remaining services under a single town government.
How has consolidation of some services saved money?
Manager $367,000 $606,000
Finance & Admin $378,000 $179,000
Stormwater & Public Works $344,000 $254,000
Total Savings $1,089,000 $1,039,000 = $2.13M
Manager $67,200 $113,500
Finance & Admin $194,300 $195,600
Stormwater & Public Works $59,800 $62,300
Total Savings $321,300 $371,400 = $0.69M
- FY2014 - FY2019: $2.13 Million
Manager $367,000 $606,000
Finance & Admin $378,000 $179,000
Stormwater & Public Works $344,000 $254,000
Total Savings $1,089,000 $1,039,000 = $2.13M
- FY2020: $0.69 Million
Manager $67,200 $113,500
Finance & Admin $194,300 $195,600
Stormwater & Public Works $59,800 $62,300
Total Savings $321,300 $371,400 = $0.69M
How would a merger affect development?
Merging the Town and Village governments wouldn’t change their comprehensive plans, but, over time, it would merge them into a single document. If merger happens, the long-term evolution of the newly unified Town-Village comprehensive plan would be under the control of a single planning commission, development office, and elected board. Changes and updates would reflect the coordinated strategic vision of the entire community.
Merging the Town and Village governments wouldn’t change their comprehensive plans, but, over time, it would merge them into a single document. If merger happens, the long-term evolution of the newly unified Town-Village comprehensive plan would be under the control of a single planning commission, development office, and elected board. Changes and updates would reflect the coordinated strategic vision of the entire community.
How would merger affect my property taxes?
Residents of the Town outside the Village currently pay municipal taxes only to the Town. Residents of the Village currently pay municipal taxes to both the Village and Town.
Residents of the Town outside the Village currently pay municipal taxes only to the Town. Residents of the Village currently pay municipal taxes to both the Village and Town.
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Does not include Town Highway Tax Rate paid only by Town outside the Village residents.
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- A $280,000 home in the Town outside the Village pays a total of $1,510.88 in municipal taxes.
- A $280,000 home in the Village pays a total of $2,405.76 in municipal taxes
- Actual numbers depend on assessed value.
- Education tax rates would not be impacted by merger.
- Only users of municipal water and sewer pay for these services. Residents in parts of Essex that do not have municipal water or sewer service do not pay for those services or infrastructure.
- A temporary “Village Debt Assessment District” would be established and sunset once all Village debt is paid in full by Village residents.
How similar are the current municipal water and sewer systems in both municipalities?*
*Important Note: Water and sewer rates do not impact tax rates. Maintenance of the systems is paid for by the users.
The Town and the Village both obtain their water from the Champlain Water District (CWD). The Town outside the Village has 3538 customers, 59.2 miles of waterline and 474 hydrants. The Village has 3346 customers, 34.42 miles of waterline and 379 hydrants. Water service encompasses almost the entire Village; rural portions of the Town are on wells. Both municipalities treat their wastewater flow at the Tri-Town (Essex, Essex Junction and Williston) Wastewater Facility in the Village. The Town outside the Village has 30.54 miles of sewer, 16 municipal pump stations and 880 sewer manholes. In comparison, the Village has 30.09 miles of sewer, 9 pump stations and 774 manholes. Almost all of the Village is on municipal sewer; sewer in the Town is only allowed within the designated sewer core area as a pre-existing grant condition to limit urban sprawl.
*Important Note: Water and sewer rates do not impact tax rates. Maintenance of the systems is paid for by the users.
The Town and the Village both obtain their water from the Champlain Water District (CWD). The Town outside the Village has 3538 customers, 59.2 miles of waterline and 474 hydrants. The Village has 3346 customers, 34.42 miles of waterline and 379 hydrants. Water service encompasses almost the entire Village; rural portions of the Town are on wells. Both municipalities treat their wastewater flow at the Tri-Town (Essex, Essex Junction and Williston) Wastewater Facility in the Village. The Town outside the Village has 30.54 miles of sewer, 16 municipal pump stations and 880 sewer manholes. In comparison, the Village has 30.09 miles of sewer, 9 pump stations and 774 manholes. Almost all of the Village is on municipal sewer; sewer in the Town is only allowed within the designated sewer core area as a pre-existing grant condition to limit urban sprawl.
Why is the recommendation made that the merger will transition the two systems into one with separate user classes that have different rates?
One entity will provide centralized control by the merged government for consistency with overall community zoning and utility coverage, operational efficiencies especially with respect to staffing, and simplified state permit compliance. Although the wholesale water cost from CWD and the wholesale sewer cost from the Tri-Town facility are at the same rate for both municipalities, their retail rates currently differ. Existing debt is different and contributes to the rate differential as does the amount of infrastructure, the financial participation by Global Foundries and other issues.
One entity will provide centralized control by the merged government for consistency with overall community zoning and utility coverage, operational efficiencies especially with respect to staffing, and simplified state permit compliance. Although the wholesale water cost from CWD and the wholesale sewer cost from the Tri-Town facility are at the same rate for both municipalities, their retail rates currently differ. Existing debt is different and contributes to the rate differential as does the amount of infrastructure, the financial participation by Global Foundries and other issues.
How would the combined system be managed and would the fees remain different?
The elected governmental body would act similar to a Board of Water and Sewer Commissioners and manage the system as one entity. Daily operation of the systems would be under control of the Municipal Manager and his/her staff would manage and operate the entire system as one. Debt incurred under the legacy systems would be paid off by the users of each legacy system until such debt was retired. Water and sewer charges within each legacy sub-system during the transition would likely be different - a combination of a uniform rate charge based on usage and different surcharge costs that reflect the difference in the two legacy systems. Some existing debt remains due for the next 20 years so a full rate consolidation would take at least that long to achieve equality.
The elected governmental body would act similar to a Board of Water and Sewer Commissioners and manage the system as one entity. Daily operation of the systems would be under control of the Municipal Manager and his/her staff would manage and operate the entire system as one. Debt incurred under the legacy systems would be paid off by the users of each legacy system until such debt was retired. Water and sewer charges within each legacy sub-system during the transition would likely be different - a combination of a uniform rate charge based on usage and different surcharge costs that reflect the difference in the two legacy systems. Some existing debt remains due for the next 20 years so a full rate consolidation would take at least that long to achieve equality.