Utility merger agreement officially signed by both parties; Sanford to take control of Pittsboro’s infrastructure by 2024

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PITTSBORO — The utility merger interlocal agreement between Pittsboro and Sanford was officially signed at Sanford’s regular city council meeting on August 1, 2023, making Sanford the official utility provider for the Town of Pittsboro. 

“This historic decision for the City of Sanford and Town of Pittsboro sets a foundation for both parties to succeed now and into the future,” said Sanford Mayor Rebecca Salmon. “To make this happen without placing a burden on Sanford’s rate payers is a tremendous achievement and credit to our team.” 

This agreement will have an almost immediate benefit for the residents of Pittsboro, with a 5% reduction in water utility rates, and improvements to the water utility system that has been needed, as confirmed in a statement to Chatham News & Record, by Pittsboro Town manager Jonathan Franklin. 

“Our ratepayers will experience an immediate 5% reduction in rates, effective August 1st," said Franklin, "This partnership will ensure rate stability, leading to further reductions in utility rates over time by combining our resources and operations.  This partnership also expedites much-needed infrastructure upgrades, boosting our service delivery and resilience.” 

While Pittsboro will see a 5% decrease in their overall service, Sanford residents saw a 6% increase in their water costs, and 3% increase in sewer, which went into effect July 1, 2023. In a June 21, 2023 press release The City of Sanford said that this was necessary to maintain the city’s utilities for their fiscal budget year of 2023-2024. 

However, Freese and Nichols, the consulting firm hired to originally explore the merger, claimed the benefits would be beneficial to both communities, by allowing better grant funding opportunities, create a strong relationship for future capital projects, and grow both economies, even though the firm identified no negative impact to Sanford’s rate payers, according to an August 3, 2023 statement released by Sanford’s Public Information officer Kelly Miller. 

Pittsboro had signed the agreement at their regular town hall meeting on July 24, 2023, and now with Sanford having signed the agreement, Pittsboro’s assets are required to be transferred to The City of Sanford no later than June 30, 2024. These assets include Pittsboro’s infrastructure, meters, software, billing / accounts, customer service, and any other systems and material required for integration. 

“We are excited for this opportunity to merge our water and wastewater services with the City of Sanford.  This partnership promises enhanced reliability, cost efficiency, and quality for the residents of both communities,” Pittsboro Town Manager Franklin said in an email to The Chatham News & Record. 

Franklin went on to add, “While there may be a few initial adjustments, this collaboration will greatly benefit the Town in the long run.  We extend our continued thanks to our residents and ratepayers for their support during this transition, and we promise continued work toward providing sustainable and high-quality utility service.  As always, the community's well-being stays at the forefront of our minds, and the actions taken over the last few months remind us of our dedication to the public and improving quality of life.”