Water & Akwa

The Laconia Water Works (LWW) and Stonefence Acquisitions, LLC, the developers of Akwa Soleil at the Weirs, reached a fragile understanding yesterday that will allow work on the water lines to continue — at least for the time being.

The LWW and Stonefence agreed to share the cost of a water tower with sufficient capacity to serve the Akwa Soleil project as well as expand water service in the Weirs. However, the two have yet to enter a binding contract, which distributes the costs and benefits between the two parties. Stonefence has been laying pipe, but without a contract work would soon have to be halted.

When the pair met at the LWW Charles Cleary, attorney for Stonefence, said that the "largest question, the fundamental issue is what is the underlying benefit that Akwa Soleil is entitled to for building the water tank?' After reading the contract, he said that he found "confusion as to what share the city or the LWW has in that tank and what share Akwa Soleil has."

Rodger "Mike" Matthewman, superintendent of the LWW, explained that the shares were delineated by calculating the amount of water consumed by the units in the Akwa Soleil project, based on the gallons per bedroom per day. Questioning Matthewman's figures, Richard Mailloux, manager of Stonefence, explained that he anticipated building fewer large units and more and smaller units than Matthewman assumed when making his calculations.

Mailloux stressed that while the LWW estimated the cost of the project at $606,000, of which it would contribute 30 percent, or $181,900, the actual cost was closer to $1.6 million and could top $2 million. He stressed that the contract must ensure that in return for its investment, Stonefence received enough water to serve the entire development without adding to its investment in water service.

Matthewman agreed that the contract would specify that Stonefence would receive sufficient water for 423 units, including its commercial buildings, constructed on its properties either side of Route 3. The Akwa Soleil development on Brickyard Mountain is projected to consist of 171 units while Mailloux indicated that Akwa Verdant , on the south side of Route 3, originally projected at 247 units would likely contain fewer units.

After addressing a number of operational issues, the LWW and Stonefence agreed to draw up a revised contract as quickly as possible.

"I want to lay pipe tomorrow," Mailloux said.

Jeff Kellett, who chairs the LWW, offered a motion to allow Stonefence to resume work on the condition the contract is signed by the close of work on Thursday, August 26. "If we had the capability to sign the contract now, we would sign it," Kellett said, adding that the "board is extremely uncomfortable allowing anyone to operate without a contract. If it's not signed by Thursday, all bets are off."

To add to the tension City Manager Eileen Cabanel designated Paul Moynihan, Deputy Director of Public Works (DPW), to stand in for Doug Sargent, Director of DPW, at the meeting, a move the LWW challenged. Cabanel assured the LWW that she was authorized to appoint a designee, but while the LWW agreed to allow Moynihan to sit and vote, it reserved its right to challenge his participation.

Kellett's motion succeeded by the narrowest of margins, three to two, with City Councilor Jim Cowan and Moynihan joining Kellett in the majority while commissioners Richard Breton and Norman Dutile dissented.

Ominously, the commissioners also voted to approach two local attorneys, Jim Burke and Phillip McLaughlin, about representing the LWW to replace attorney Jim Sessler. And the first question they will ask the new attorney is whether Moynihan was entitled to vote.