Town Commissioners Minutes — 2026-07-24

Exactly as extracted, unformatted — for checking against the original. The readable version is easier to read.

QUEENSTOWN COMMISSIONERS
June 2412026
PRESENT: President Al Hardee, Commissioners Bryon Callahan & Jim Watzin. Town
Manager Amy Moore, Town Clerk Aaron Horney, Town Assistant Attorney Jen Dindinger,
Finance Chair Pat Bowell
PUBLIC HEARINGS CALLED TO ORDER AT 6:00 PM
ORDINANCE NO. 26-02 - AN ORDTNANCE OF rHE rOWN OF QUEENSTOWN rO AMEND THE
TOWN'S WATER AND SEWER CHARGES TO INCREASE THE MONTHLY WATER CONSUMPTION
RATE AND SEWER CONSUMPTION RATE BY THIRTY-TWO PERCENT (32%) FOR ONE YEAR
COMMENCING JULY 1,2026 AND ENDING JUNE 30,2027.
President Hardee discussed the reasoning behind the Town proposing the consumption rate
increases, explaining that the Town is required under State law to have a balanced budget for the
ils
water/sewer operations. The Town under has not been generating enough revenues to pay the
w/s expenses for many years. While minor increases to the consumption fees have been adopted
in prior years to attempt to address the imbalance, they are not enough to keep pace with
increases in expenses as the Town has been forced to use reserve funds several times in the last
few years just to pay normal monthly operating expenses. Rate studies recently conducted show
the increases are the minimum needed to get the budget back to a balanced status.
PUBLIC COMMENTS
Kim Keiler- Town recently replaced sewer line on Old Wharf La. Says contractors told her it
didn't need to be replaced so was it a waste of money? Hardee stated Town has video
documentation of inside of lines that showed major leaking issues which in addition to Town
Engineer also informing Town it was the worst infiltration area, led to decision to replace line.
Paul Cain- Why is State law requirement suddenly a concern? Hardee stated Town should be in
compliance to ensure Town is not penalized in some form for continued non-compliance but the
ils
other concem is that the Town simply cannot continue to operate the system at the current
rate of losses as eventually the Town would run out of the reserve funds it is currently using to
make up the expenses/revenues imbalance. Cain also has concerns about Town spending money
on properties he believes serve no purpose to the Town. Hardee disagrees with this opinion as
properties considered for purchase were for future w/s system upgrades.
Joe Kelkowski- Will Wheatlands development bring w/s costs down? Is plant paid for? Hardee
stated at full buildout it should bring debt service fees down according to Town Engineer.
Wheatlands will also include infrastructure upgrades which will help with water pressure/quality
issues certain areas of town experience currently. Plant is not paid for- debt service fees in w/s
bills goes towards paying down the debt on the loans for the plant.
Ron Baker- What percent of town's deficit is attributable to w/s? Can dehcit be made up with
General fund revenues? Ms. Bowell stated that the deficit is entirely on WS fund side as w/s
revenues received via w/s bills and other sources are not enough to cover the town's w/s
expenses and haven't been for many years. Hardee stated that general funds cannot be used to
cover w/s expenses as by law w/s revenues must be sufficient to cover w/s expenses.
Peter Robertson- Stated town practice when he was commissioner in 2007-2009 was to use
general funds to make up imbalances on WS Fund side. Was informed by State at that time that
the WS Fund must balance without general funds. State can but typically doesn't issue fines for
non-compliance but will keep pressure on towns. Proposed at the time to have yearly w/s
consumption rate increases of l0o/o to address the issue- was severely opposed by residents at the
time and not adopted. Stated w/s imbalance has been an issue since at least 2000. Situation today
is a result of townspeople's unwillingness to address the issue back then. Stated town adopted
technology at the plant that he believed at the time was more expensive to operate and not well
suited for the size of the community. Asked will the now proposed increases balance the ds

operating budget or will further increases be needed in years to come. Hardee stated that current
proposed increases should address the imbalance issue as it currently is but can't guarantee that
future increases won't be needed as operating costs continue to rise. Stated that membrane
replacements have significantly cost the town over the past 4 years.
Di Quynn-Reno- Wanted to clariS, that only the debt services fees may be reduced as a result of
Wheatland's? Hardee stated yes, only debt service fees- consumption fees would not be reduced.
Matt Ball- Proposed FY27 budget shows operating revenues and expenses as breaking even so
why is increase needed? Commissioners stated that the revenue shown assumes the 32Yo increase
is adopted- if increase not adopted the revenues would be lower.
Becky Russenberger- What is life expectancy of membranes? Why going thru so many? Town
have any recourse? Hardee stated membranes should last several years but weren't. Town has
tried with limited results to recoup funds from manufacturers for failed membranes.
Pat Bowell - State has ways of ensuring compliance by towns including requiring as a condition
to receive loans/grants. Requires towns to have certain amounts of funds on hand for emergency
needs, etc.
President Hardee asked all if would rather split increases with 20Yo increase now with additional
l2o/o or more next year, or just do entire 32oh now. Consensus was to do 32o/o now.
Commissioner Watzin stated that coming into this role, his opinion is that the town has been too
nice with not raising w/s fees more than was done in the past as the increases are needed- in a
contained budget revenues must be enough to support normal expenses along with additional to
store in rainy-day funds for unexpected expenses, especially with critical services like
water/sewer. Unfortunately, there is no other option. Agrees with everything Mr. Robertson
stated earlier.
With no fuither comments, President Hardee thanked all in attendance for their comments and
understanding and closed the hearing on Ordinance 26-02 at7:l3pm.
ORDINANCE NO. 26-01 - AN ORDTNANCE oF THE TowN oF eUEENSTowN ADoprrNG A
GENERAL BUDGET FOR THE FISCAL YEAR BEGINNING ruLY I, 2026 AND ENDING ruNE 30, 2027
AND ESTABLISHING A REAL PROPERTY TAX RATE OF $ .2312 PER $IOO OF ASSESSED REAL
PROPERTY VALUE, A TAX RATE OF $ .58 PER $IOO OF ALL ASSESSED COMMERCIAL OR BUSINESS
PERSONAL PROPERTY, AND A TAX RATE OF $2.75 PER $1OO OF ASSESSED PUBLIC UTILITIES; AND
ALSO ADOPTING AN ENTERPRISE BUDGET FOR THE TOWN'S WATER AND SEWER OPERATIONS,
WHICH INCLUDES AN INCREASE TO MONTHLY V/ATER AND SEWER CONSUMPTION RATES BY
THTRTY-TWO PE RCENT (32%).
PUBLIC COMMENTS
Matt Ball- What percentage increase is proposed to the real property tax rate? Hardee stated
there is no increase proposed to the real property tax rate- will remain at current rate.
With no further comments, President Hardee closed the hearing on Ordinance 26-01 at 7:l4pm
and the Commissioners took a 5-minute recess.
REGULAR MEETING CALLED TO ORDER AT 7:20 PM
GUESTS (none)
PUBLIC WORKS
o
Both EQ pumps at plant stopped working. Found to be electrical issue due to heat in
blower room- A/C not working properly. Current A/C unit has constant issues- want to
replace with split units priced with JC Warner ayear ago? Commissioners agree yes.
o
Kohler generator didn't work properly during weekly test- fault showing low engine
speed. No sign of oil leaks or other issues. Tech to be on site Friday to check it over.
o Utility Tank did a wash out of Outlets tank today. Will be filled back up tomorrow,
Operator needs to test before putting back online.

o
Aerzen blowers serviced. Are original to when plant was built. Per service report, 2
blowers need shaft seal changes/overhaul and 4 of 5 need PRV changes. Total cost of
repairs is $25,233.72.
o
Culvert/ditch remediation plan- Brian at Rauch met w/contractor on site- should be
providing quote to do camera work this week. Once done, we can investigate the failing
pipes to determine what fixes are necessary. Brian believes full replacement of pipes may
be fix for most if not all as they are mainly CMP with bottoms likely corroded away. Can
determine solutions after getting quote and getting the videos and approval of costs.
PLANNING COMMISSION (no updates)
FINANCE COMMITTEE (no updates)
CODE ENFORCEMENT/HARBORMASTER (no updares)
EVENTS COMMITTEE
o
Reading of Declaration of Independence on July 8. Starts at 5:30pm with festivities and
reading to begin at 6:00pm. Event to have reenactors, mobile history truck, live music,
food options, games, crafts, inflatables, and tours of the Courthouse.
TOWN CLERK
1.
Treasurers/Finance Report
.
General Fund Checking 551,270.00 General Fund CDs $837,602.00
.
Water/Sewer Fund Checking $41,628.00 Water/Sewer Fund CDs$262,756.00
2.
Minutes
.
May 27,2026 (RegularMeeting)
q)e
Callahan motion to approve as written. Watzin second. VOTE: 3 0 nay.
.
June 8,2026 (Work Session)
Callahan motion to aoprove as written. Watzin second. VOTE: 2 aye - 0 nav.
Hardee abstained from vote as did oarticioate in the 7/8 work session.
.
June 10,2026 (Regular Meeting)
Tabled until next meeting - not ready for review.
3.
Other Updates
.
Finance Chair Pat Bowell's term is up in June. Is willing to continue on in role.
Callahan motion to reappoint Ms. Bowell to new term on Finance Committee endine
2027. Watzin
TOWN MANAGER UPDATES
o
Do we want to have only one meeting in July and August? Commissioners agree one
meeting per month on July 15 and August 19.
o
Court date tomorrow for resident w/parking violations. Harold Veasel will attend.
o
DFC Alex Cooper is new community coordinator for Sherrif s Dept.- available to meet
w/Commissioners. Can contact him for any issues.
OLD BUSINESS
INFRASTRUCTURE
1. I&lProject
Work is complete. Paving/ditches checked by Rauch- operating as should. Speed
bumps installed in same locations as old ones. Will be asking for retainage on next
pay application. Rauch recommends not paying all retainage but maybe a reduction
through the warranty period- will find out what warranty period is.
2. Water Tank & Infrastructure Project (no updates)
3. Queenstown Harbor Water Issues (no updates)
MARINE PROJECTS
1. Federal Channel Dredging (no updates)
POLICY
1. Water/Sewer Connections Code - Proposed Clarifications & Revisions (no updates)
2. Proposed Revisions to the Z.O. Related to Accessory Dwelling Units (no updates)
3. Long Term Rentals - Possible Legislation (no updates)

4 Proposed Revisions to Z.O. - $95 Height, Area, and Bulk Requirements (no updates,\
5 ORDINANCE 26-0I - AN ORDINANCE oF THE TOWN oF QUEENSTOWN ADOPTING A
GENERAL BUDGET FOR THE FISCAL YEAR BEGINNING JULY I.2026 AND ENDING JUNE
30,2027 AND ESTABLISHING A REAL PROPERTY TAX RATE OF $ .2312 PER SIOO OF
ASSESSED REAL PROPERTY VALUE, A TAX RATE OF $ .58 PER SIOO OF ALL ASSESSED
COMMERCIAL OR BUSINESS PERSONAL PROPERTY. AND A TAX RATE OF $2.75 PER SIOO
OF ASSESSED PUBLIC UTILITIES: AND ALSO ADOPTING AN ENTERPRISE BUDGET FOR
THE TOWN'S WATER AND SEWER OPERATIONS, WHICH TNCLUDES AN INCREASE TO
MONTHLY WATER AND SEWER CONSUMPTION RATES BY THIRTY.TWO PERCENT
(32%).
Callahan motion to adopt Ordinance 26-01. Watzin second. VOTE: 3 alte - 0 nalt.
6. ORDINANCE 26-02 - AN ORDTNANCE oF THE TowN oF eUEENSTowN ro AMEND
THE TOWN'S WATER AND SEWER CHARGES TO INCREASE THE MONTHLY WATER
CONSUMPTION RATE AND SEWER CONSUMPTION RATE BY THIRTY-TWO PERCENT
(32%) FOR ONE YEAR COMMENCTNG JULY 1,2026 AND ENDTNG JUNE 30,2027
I(atzin motion to adoot Ordinance 26-02. Callahan second. VOTE: 3 aye - 0 nay.
DEVELOPMENT PROJECTS
l.
Wheatland's Project
Meeting scheduled for June 29 at 3pm to review/sign documents. Ms. Dindinger
discussed changes and revisions to documents to be ready for review at June 29
meeting. No substantive changes noted.
NEW BUSINESS (none)
ATTORNEY UPDATES (none)
PUBLIC COMMENT
Di Quynn-Reno - Resident - Ask new Sheriff s Rep to monitor Main St. as speeding is still an
issue. Ms. Moore will inform him. Also asked if fire dept. experienced water pressure issues
during recent shed fire in town- is that why multiple companies reported? Callahan stated no,
standard alert is to have multiple trucks- no issues with pressure during the fire operations.
Paul Cain - Resident - Believes town should pass ordinance allowing golf cart use on town
streets. Why not allowed? State allows if Town decides to pass ordinance. Uses his but received
violation letter. Ms. Quynn-Reno believes they should not be allowed for safety reasons.
Commissioners will research into issue to consider for a future meeting.
Michelle Ravert- Candidate (D) for Delegate in District 36 - Ms. Ravert briefly spoke about why
she is running and is getting the word out about her candidacy. Believes state legislation should
be fine-tuned for issues the Eastem Shore deals with instead of blanket state policies that don't
consider issues unique to the shore areas.
There being no further business, Callahan motion to adjourn the meetine at 8:l2pm. Watzin
second. VOTE: 3 ave - 0 nav.
Respectful ly submitted.
Aaron
Town Clerk
v