Stormwater Utility (DRAFT)

Feasibility Study Work Session: The City Council move will hold a work session on October 17, 2022 at 6 pm to hear the preliminary findings and recommendations of this study and discuss steps the City may take to implement a stormwater utility enterprise fund.

The City of Portsmouth created a Special Revenue Fund for our stormwater program starting in FY19. The intent of this fund was to better track the costs related to meeting the ongoing operational, staffing and expenses needed to comply with the 2018 stormwater municipal separate storm sewer system (MS4) permit. Municipalities in New Hampshire have legal authority to form stormwater utilities under RSA 149-I.

Stormwater utilities can be created to address flood and erosion control, water quality management, ecological preservation, and annual pollutant loads contained in stormwater discharges. The benefits of a Utility include:

• Creating a dedicated funding source

   o Current funding is 50% General Fund and 50% Sewer

   o Revenue generated by a stormwater utility based on user fees provides a more sustainable and equitable funding source

• Improved Watershed Stewardship

   o Through incentive programs that provide rebates or reduce user fees, a stormwater utility encourages better stormwater management, such as the use of low impact development practices,

The City, together with our engineering consultants, VHB and Stantec, have been studying the feasibility of developing a stormwater utility enterprise fund, similar to the current water and sewer enterprise funds.