Shall the Town of Hampton vote to authorize the Board of Selectmen to enter into a 5-year lease purchase agreement for one (1) Mack Cab Over Refuse and Recycling Truck with a Labrie Automated two sided Loader Body unit in the amount of $350,395, including interest, the yearly payment being $75,500, and one (1) Mack 16-yard rear loading refuse and recycling truck in the amount of $237,090, including interest, the yearly payment being $51,000, and to raise and appropriate the sum of $126,500 to fund said lease-purchase agreement in year one, with said lease purchase agreement to contain a non-appropriation clause? (Majority vote required)
What it means: The recycling truck being requested is similar to 2 trucks the DPW already has. Three trucks had been traded in, and DPW is asking to appropriate the third with a 20-year life expectancy. The current front loader would not pass inspection. The NH Department of Revenue Administration requires that the total value of the vehicles, as well as the cost of the first year lease must be in the article. However, the lease can be terminated if circumstances change. Leasing allows the Town to cycle out older vehicles rather than wait until they require expensive repairs (as in the case of ownership). The lead time for a new truck is 18 months, so the new vehicle would not be available until 2022.
Those in favor say: DPW gets behind when there are delays for lack of vehicles. The townspeople pay good taxes and want reliable trash pick-up. Leasing is a good way to approach this need, because the town can quit the lease if there are changes in the trash/recycling industry that change our approach.
Those against say: Maybe the town should outsource the trash obligation, thus reducing the need for new trucks. (Mr. Jacobs said that was done in the past but was stopped because drivers from the private contractor were maxed out of overtime and streets were regularly missed.)
Fiscal impact: If Article 28 is approved, it will create an additional tax cost for a Hampton home valued at $400,000 of $13.60 for each of the next five years (unless the lease is terminated sooner). Take your property value divided by 1000 times .034 to get your cost.