1.2% Project Cost Fee Pitched to Overhaul Building Department Permit Revenues
Key Points
- Building Department proposed a move to a 1.2% construction cost fee for permits
- Monomoy Middle School siding contract awarded at $2.2 million under budget
- Select Board granted Town Administrator Tony Skiavi a 90-day contract extension
- Interim Finance Director reported a $2.6 million FY25 surplus and AAA bond rating
- Town Administrator reclaimed studio space at the 204 Building for municipal offices
Harwich homeowners and developers may soon face a restructured fee system for building permits as the town seeks to move away from square-footage assessments. Building Commissioner Eleanor presented a proposal to the Select Board on Monday night to replace the current rate of 55 cents per square foot with a fee based on 1.2% of total construction costs, or approximately $12 per $1,000 of project value. Eleanor explained that the current system is unsustainable given the complexity of the 2021 code books and the high number of inspection touch points
required for even small projects. Town Administrator Tony Skiavi supported the shift, noting that a $138 permit for a $50,000 project currently fails to cover the town's administrative costs. Member Jeffrey Handler voiced support for the modernization but urged the board to consider the town's broader goals. Handler suggested a carve-out
or waiver for affordable housing projects to ensure the town remains a cooperative partner
in addressing the local housing crisis.
The town’s financial health remains on firm footing following a joint review with the Finance Committee. Interim Finance Director Jennifer Mintz reported that Harwich closed fiscal year 2025 with a $2.6 million surplus, which has been moved to free cash. The town maintained its AAA bond rating while managing a total operating budget of $77.8 million. Local receipts, driven by recreation fees and excise taxes, outperformed projections by $3.1 million. Despite the surplus, Skiavi cautioned that the town has been ultraconservative
in its estimates and needs to refine forecasting to avoid artificial stress and constraint.
The board and Finance Committee discussed moving recurring costs, such as police cruisers, into the operating budget to stop the reliance on free cash for essential equipment. Mintz also highlighted a significant debt drop-off
scheduled for FY30, FY32, and FY33, which may provide future budgetary relief.
The Monomoy Regional School District delivered significant news regarding its capital projects, announcing that the siding project for the Middle School was awarded to Peril Construction for $6,983,000. School Business Manager Michael McMillan noted that this bid came in $2.2 million below the estimated construction budget. Superintendent Scott Carpenter explained that work will begin in April using a phased approach to keep classrooms operational. We can take up to eight classrooms offline at a time while school is in session,
Carpenter said, noting the building will be finished in a gray-toned concrete fiberboard. McMillan also provided an update on the roofing project, which is being submitted to the state for a projected 37% reimbursement.
Leadership stability was addressed early in the meeting as Chair Donald Howell reported on a prior executive session regarding the Town Administrator’s role. Howell announced that the board reached an agreement with Tony Skiavi for a 90-day extension of his contract under existing terms. Motion Passed (3-0) to approve the 90-day extension. Consequently, the board decided to delay the recruitment of a permanent Assistant Town Administrator. Skiavi informed the board that search consultants advised waiting until a new permanent Town Administrator is selected, as top-tier candidates often want the authority to hire their own second
in command. The board plans to post the advertisement in December to ensure resumes are ready for the incoming administrator's review.
Tensions flared regarding the management of the 204 Cultural Arts Municipal Building as the town moves to reclaim space for municipal offices. Skiavi announced the termination of a license for Room 102 to accommodate employees currently working in the unsuitable Albro House. Tenant Janna Powell, owner of High Point Vintage, contested the decision, arguing her business fits the building's cultural mission and criticizing the lack of Select Board oversight in the eviction process. I am very frustrated by the lack of communication,
Powell said. Skiavi countered that the tenant appeared to be operating a retail business and using the space for storage rather than creation, which violates the license agreement. Vice Chair Peter Piekarski noted that the town's use policy delegates building management to the Town Administrator but suggested that future artists should be warned of municipal reserve
risks. Chair Howell declined to override Skiavi’s decision but directed staff to work with Powell on a flexible transition date beyond the original December 1st deadline.
In other infrastructure news, the board moved forward with the long-delayed preservation of the Brooks Academy Museum. Motion Made by M. Kelleher to approve a contract with A Associates Architects for engineering and architectural services for the Brooks Academy Museum in the amount of $197,600. Motion Passed (3-0). Chair Howell emphasized the urgency of the work, citing the upcoming 250th anniversary of the country. Resident John Kerry also provided a positive update for West Harwich, noting that the schoolhouse project is complete with seven market-rate units already filled by local workers. Kerry also announced a purchase and sale agreement for the West Harwich Baptist Church to ensure its preservation.
Cultural and departmental updates rounded out the evening. Director of Cultural Affairs Cara highlighted upcoming events at the 204 building, including a performance by the Glen Miller Orchestra on November 19 and a Holiday Market on December 6 featuring 40 vendors. The board also approved a classification change for the Cape Sea Grille. Motion Made by M. Kelleher to approve a change of classification for Blue Stripe LLC DBA Cape Sea Grille from annual to seasonal. Motion Passed (3-0). Member Mark Kelleher reminded residents of his upcoming office hours and offered congratulations to Monomoy Regional Field Hockey on making the final four.