Village Agrees to Sell Water to Daybreak Foods, Inc.

After months of negotiation and discussion, Village Council authorized the Village Manager to enter into contract with Daybreak Foods, Inc. to sell a minimum of 125,000 gallons of water per day. New Day Farms, a wholly owned subsidiary of Daybreak Foods, is one of the nation’s fastest growing egg producers. New Day Farms operates an egg production facility at 9300 Croton Road. Under the 15-year contract, New Day Farms guarantees the use of 125,000 gallons of water per day with a maximum per day usage of 175,000 gallons. Since the facility is located outside of the Village corporation limits, New Day Farms has agreed to a payment in lieu of taxes of $64,000 per year for the first 10 years and $45,000 for the final 5 years of the contract. Revenue from the sale of water and payment in lieu of taxes will finance the bond payment for the construction of the waterline.

Over the next 12 months, the Village will design the water line, begin permitting and construct the infrastructure needed to serve the New Day Farms facility.

Property owners along the 1-mile waterline will have the ability to connect. Those property owners that are contiguous to the Village corporation boundary will be required to annex prior to water service being granted. Those not contiguous will be required to record a property deed restriction stating the property owner will annex when the property becomes contiguous. Also, a tap fee and capacity fee must be paid. Currently a water tap fee costs $375 and capacity fee is $5,000 and is subject to change. The water rate will be 200% for those outside the Village corporation limits.

9 thoughts on “Village Agrees to Sell Water to Daybreak Foods, Inc.

  1. Congratulations, Jim! This is awesome news! Thanks for taking a leadership position to make this happen for the village!.

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    1. Congratulations, Jim! This is awesome news! Thanks for taking a leadership position to make this happen for the village!.

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  2. Oh my goodness, so does this mean we will have more flies again this year. It was better a few years ago and then this last year it was horrible. I hope we can Get the smell and flies under control. I live on Clover Valley

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  3. Mr. Lenner, what is the “capacity fee of $5,000.00” that you mentioned in your article regarding homeowners tapping to the new water line on Croton Rd? Don & I understand the $375.00 tsp-in fee, but we’re confused about the “capacity fee.

    Thank you, Regina Pasini Don Litterini

    On Sun, Mar 8, 2020, 10:35 PM Johnstown Connection wrote:

    > Jim Lenner posted: ” After months of negotiation and discussion, Village > Council authorized the Village Manager to enter into contract with Daybreak > Foods, Inc. to sell a minimum of 125,000 gallons of water per day. New Day > Farms, a wholly owned subsidiary of Daybreak Foods” >

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    1. The capacity fee is the cost of replacing the amount of water taken from the water plant by the new customer. The capacity fee is put into an account to pay for plant expansion at a later time.

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  4. so I currently live on Croton Rd. We were advised the piping they laid down was for the water line last summer. Does this mean I have to go another summer with my front yard tore up?! Including my driveway?! The flies and the smell have been horrible. I don’t understand why we have to say something to the company. This should be something the village is aware of. Why didn’t we get to vote on this?

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    1. The line put in last year was for wastewater. It was done by the company. I’m not able to say when and how long your driveway will be impacted since the plans aren’t drawn yet. Utilities can run in the right of way as long as they are properly permitted. The Village doesn’t extend up Croton Road we have no jurisdiction or power of law. The Village could tell the company to do something and they can simply ignore us. My suggestion is to contact your Township Trustees. Zoning law in agricultural settings are heavily tilted in favor of the AG industry. As for the “vote”, our Village operates as a representative democracy founded on the principle of elected officials representing a group of people. Only a few items such as increased taxes or other levied taxes (school district, etc) go before the entire electorate.

      Hope this helps. Jim

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