Worcester to Pay $35.5M Holden Sewer Judgment Over Time, Batista Says

“My goal was to make sure that I try to provide, or I try to negotiate a deal that one, stopped the interest, and then two, spread out this potential payment over a number of years to try to reduce the impact on the rate payers.”
— Eric Batista, Worcester City Manager

By-Hank Stolz

Photo-Radio Worcester

Worcester, MA- Worcester City Manager Eric Batista discussed the settlement agreement reached with the Town of Holden in the sewer use rate case. Batista explained the background of the $35.5 million judgment against Worcester and detailed the city’s strategy to manage the payment. “My goal was to make sure that I try to provide, or I try to negotiate a deal that one, stopped the interest, and then two, spread out this potential payment over a number of years to try to reduce the impact on the rate payers.” He outlined the specific payment schedule, the use of city reserves for the initial payment, and the plan to collaborate with the state government to secure infrastructure funding, which would help offset the costs and reduce the need for borrowing. “The idea is to try to kind of like this balance of if we’re able to receive more money from the state or any additional funding from the state, then I’m able to borrow less, which then helps me to keep that rate down for the residents of the city.” Batista also addressed the next steps, which involved negotiating a new, long-term sewer use agreement with Holden and other surrounding towns.