Amherst, UMass ink historic pact

By Nick Grabbe
Staff Writer

Published on August 31, 2007

The University of Massachusetts has agreed to pay the town of Amherst's costs of providing fire protection and ambulance service to the campus, as part of a new five-year agreement.

And Amherst has agreed to stop charging UMass for wastewater that it uses to produce steam in the campus heating plant, and in the new power plant due to open next year.

The 'strategic partnership agreement' also addresses Mark's Meadow elementary school, which is owned by UMass and used by the town rent-free. For the first time, the agreement acknowledges the cost to taxpayers of educating the children of UMass students who live in tax-exempt housing.

'This is a watershed agreement,' said Town Manager Laurence Shaffer in an interview. 'This is our most important relationship, and it should be strategic, not incidental. As we go forward, I want us to think of ourselves as one unit rather than competing interests.'

According to UMass spokesman Patrick J. Callahan, the new agreement between the university and the town is the broadest economic agreement to date between the two.

'This covers a lot of ground financially between both parties,' Callahan said.

UMass is glad to have a more comprehensive agreement with Amherst, said Martha Nelson Patrick, the director of community relations.

'This is a thorough look at how the town and the university impact each other and how we need to work together to everyone's benefit,' she said in an interview. 'The university is quite pleased with the result. It's a shift in the paradigm, recognizing the essential services the town provides to the campus.'

The agreement was signed by Shaffer, outgoing UMass Chancellor John Lombardi, and Superintendent of Schools Jere Hochman.

It stipulates that UMass will pay Amherst about $425,000 a year to reimburse fire and ambulance costs.

Under the old agreement, UMass was due to pay $181,000 this year, in addition to a state payment of $101,000. So Amherst will receive $140,000 in unanticipated payments this year as a result of the agreement.

About 18 percent of the fire and ambulance calls handled by the Amherst Fire Department come from the UMass campus.

The agreement sets a precedent for future discussions with Amherst and Hampshire colleges about similar reimbursements, Shaffer said.

'We want to make sure our relationships with all our institutions are balanced,' he said. 'The main principle is equity.'

The state's reimbursements to communities that host state facilities do not cover all their costs, said Nelson Patrick. 'Until they are adequately funded, the university is taking this step to more fairly compensate the town for some of those direct costs,' she said.

UMass was expecting to pay Amherst $37,800 this year for wastewater, which the campus filters and uses to produce steam in its heating plant. These payments were due to increase when UMass opens its new power plant next year.

As a result of the agreement, Amherst will not charge for this treated water, which it typically pipes into the Connecticut River. UMass has been paying for the wastewater at one-sixth of the rate for potable water.

The plan to remove the charge for wastewater must be ratified by the Select Board, Shaffer said.

Overall, UMass uses 40 percent less water than it did in 2004, primarily as a result of an $42 million investment in new toilets and showers and other improvements, said Nelson Patrick. While UMass used 44 percent of the water Amherst provides in 2004, last year it used only 34 percent.

Under the agreement, UMass and Amherst will continue to collaborate on water conservation. The town benefits because it doesn't have to seek new water sources and there will be plenty of supply for future economic development, Shaffer said.

But water rates went up by 25 percent last month and may go up against next year, and would have even without the agreement, he said. Amherst's water rate of $3 per 100 cubic feet is lower than 150 other municipal suppliers in the state and higher than only 35, he said.

The agreement requires six months notice of rate hikes and establishes a joint committee to review water and sewer issues.

There are no major changes at Mark's Meadow as a result of the agreement, Shaffer said. It stipulates that Amherst will pay for repairs to the building envelope, doors, walls and ceilings, but will continue to pay UMass no rent.

If Amherst no longer uses the building for an elementary school, town and campus officials will negotiate a reimbursement for the costs of about 50 children, mostly of UMass graduate students, who attend public schools at taxpayers' expense, according to the agreement. 'This is a change in philosophy,' Shaffer said. 'For the first time, UMass may consider payment for those students. That's an important acknowledgment.'

There are no immediate plans to abandon Mark's Meadow School, but elementary enrollment is declining, Shaffer said. It's possible that Amherst could build a new school, and Mark's Meadow needs work and 'does not have an indefinite life,' he said.

The agreement also includes the new 'mutual aid' accord between the Amherst and UMass police departments that was announced in January.

It also says that 'the town and the university will continue to explore and pursue economic development opportunities.'

The exemption the Campus Center Hotel receives from the state's hotel/motel tax, under which revenues go to municipalities, did not come up in the negotiations, Shaffer said.

Future areas of town-gown discussion include a joint system for fielding emergency calls and responsibility for managing the water system on campus, he said.

Shaffer and Nelson Patrick plan to meet monthly to enhance communication.