Eliot Budget Committee reviews school sewer plan, long-term financial forecast

The Eliot Budget Committee heard a presentation from Ty and Bond on the proposed sewer connection for Marshwood School, which aims to eliminate an aging overboard discharge into Sturgeon Creek. Committee members also discussed the town's strong fiscal position, including a projected unassigned fund balance of over $5.4 million, and began outlining steps to create a five-to-ten-year financial forecast.

Key points

• Kyle Coolidge of Ty and Bond explained that the school's current wastewater system discharges excess flow into Sturgeon Creek, a practice that is legally permitted but environmentally undesirable and subject to stricter future regulations.
• The proposed solution involves a 0.9-mile sewer extension from Arc Road to the school, with an estimated cost of $1 to $2 million depending on whether the town includes additional public capacity in the design.
• The school district has drafted a memorandum of understanding to fund the connection itself, and state revolving loan funding was approved this fall to support the project.
• Committee members noted that the town's unassigned fund balance is expected to reach approximately $5.48 million after accounting for fiscal year 2026 revenues and proposed carryovers.
• Jim Ladder shared a template from a Massachusetts municipality for developing a long-term financial forecast, recommending the committee start by extrapolating historical revenue and expense growth trends.
• The committee identified potential future capital costs, including the possible replacement of the sewer pipe under the Kittery causeway and upgrades to the fire department building.

Next steps

• The committee will work with the town's finance manager to develop a five-to-ten-year financial forecast using historical data and the template provided by Jim Ladder.
• Ty and Bond will hold workshops with the town and school to define the scope of the sewer project and finalize cost estimates.
• The next Budget Committee meeting is scheduled for Thursday, November 5, 2026, at 6:00 p.m., featuring a presentation by Brian Jamrose, the town's money manager.

Read the full transcript The agenda