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LEGISLATIVE YEAR 2022

RESOLUTION: R-22-019
PURPOSE: Authorizing Pennichuck Corporation and Pennichuck East

Utility, Inc. to enter into a term loan with CoBank, ACB

ENDORSERS: Alderman Patricia Klee
COMMITTEE
ASSIGNMENT: Pennichuck Water Special Committee
FISCAL NOTE: None.
ANALYSIS

This resolution approves the proposal by Pennichuck Corporation and one of their regulated
public water subsidiaries to enter into a term loan as described in the resolution.

We have forwarded additional information provided by Pennichick on the propesal to the Board
of Aldermen.

Article [X (3) of Pennichuck Corporation’s Articles of Incorporation and Article V §2 of the
Pennichuck Corporation’s by-laws requires City approval for the borrowing.

Approved as to form: Office of Corporation Counsel

By: \\Da ld Cla Me

Date: \\ MaAcy. @> a2.

R-22-020

RESOLUTION

AUTHORIZING THE MAYOR AND THE CITY TREASURER TO ISSUE BONDS NOT
TO EXCEED THE AMOUNT OF THIRTY-SEVEN MILLION FIVE HUNDRED
THOUSAND DOLLARS ($37,500,000) TO FUND THE SECOND FIVE YEAR PHASE
OF A TEN YEAR PAVEMENT MANAGEMENT PROJECT

CITY OF NASHUA

In the Year Two Thousand and Twenty-Two

RESOLVED by the Board of Aldermen of the City of Nashua that the Mayor of the City
of Nashua and the City Treasurer of the City of Nashua are hereby authorized to issue and sell
general obligation bonds of the City, in an aggregate principal not to exceed Thirty Seven
Million Five Hundred Thousand ($37,500,000). The proceeds of said bonds shall be used over
the second five-year phase of a 10-year pavement management project with the goal of bringing
the average pavement condition index (PCI) of the 300-mile road network to at least 87 (which is
an ASTM standard for a good service condition) at the end of 10 years. The project will
implement various pavement treatment and repair methods including routine maintenance,
preventative maintenance, structural improvement and base rehabilitation. The project also
includes work related to periodic pavement condition surveys, analyses and reporting,
management system updating, bidding documents, construction quality control and material
testing. The t0-year pavement management project followed by maintenance as needed is
expected to extend the life of the road network by 20 years.

Pursuant to Nashua City Charter $54-a, this resolution requires a ‘‘duly advertised public
hearing.” Also sce N.H. RSA 33:9, which requires a 2/3 vote for passage of this resolution.

The bonds shall be general obligations of the City of Nashua, payable as to principal and
interest from ad valorem taxes, which will be levied without limitation as to rate or amount on all
taxable property within the territorial limits of the City of Nashua.

The bonds shall bear the manual and facsimile signature of the City Treasurer and the
Mayor. In accordance with Chapter 91 of the New Hampshire Acts of 2005, bonds issued
pursuant to this resolution shall not require an authenticating certificate of a bank or trust
company doing business in the State of New Hampshire or the Commonwealth of Massachusetts,
or the Commissioner of Revenue Administration.

RESOLUTION R-22-020

The bonds are to be issued in fully-registered form by means of a book-entry system or
otherwise and shall have such terms and conditions and be in such form, subject to the provisions
of this resolution and applicable law, as shall be determined by the Mayor and the City
Treasurer.

RESOLVED FURTHER, that the Mayor is authorized to enter into the required
contracts therefor as well as any amendments to be made thereto or any other documentation
necessary for the receipt of said funds.

LEGISLATIVE YEAR 2022

RESOLUTION: R-22-020
PURPOSE: Authorizing the Mayor and the City Treasurer to issue bonds

not to exceed the amount of Thirty-Seven Million Five
Hundred Thousand Dollars ($37,500,000) to fund the second
five year phase of a ten year payement management project

ENDORSER(S): Mayor Jim Donchess
Alderman-at-Large Lori Wilshire
Alderman-at-Large Michael B. O’Brien, Sr.
Alderman Richard A. Dowd
Alderman Ernest A. Jette

COMMITTEE Budget Review Committee
ASSIGNMENT: Board of Public Works
FISCAL NOTE: Bonds will be issued over a five-year period with the first bond

anticipated to be sold in FY 24 with the first payment beginning in
FY25. Estimated interest rates are 3.0°0-4.0%. Each bond issued
will be in an amount not to exceed $7,500,000 for a total of
$37,500,000. Total bond payments are estimated at $49,500,000
including interest. Each bond will have a fifteen-year term. The
Bonds will be repaid through the Special Road & Highway Fund.

ANALYSIS

This resolution authorizes the City to issue and sell general obligation bonds up to $37,500,000,
for the second five-year phase of a 10-year pavement management project as described in the
resolution. This project is in the FY2022 Capital Improvements Program.

As this legislation is an authorization to borrow money, this resolution requires a “duly
advertised public hearing” pursuant to Nashua City Charter $54-a. NH RSA 33:9 requires a 2/3
vote of all the members for the issuance of bonds. This resolution is also a specific non-budget,
supplementary appropriation, permitted by Charter Sec. 53. Requirements for that are notice and
a public hearing. A two-thirds vote is required under Charter Sec. 56-b for an item or amount
not in the mayor’s budget. A roll call is required under Charter Sec. 49.

This legislation should be referred to the Board of Public Works for its review and approval.

Approved as to account Financial Services Division
structure, numbers,
and amount: By: /s/ John Griffin

Resolution R-22-020

Approved as to form: Office of Corporation Counsel

By: ( eke, (Pore.
Date: LS Maral ODA

R-22-021

RESOLUTION

CHANGING THE PURPOSE OF UP TO ONE HUNDRED AND FIFTY-TWO
THOUSAND AND THIRTY DOLLARS ($152,030) OF UNEXPENDED BOND
PROCEEDS FROM THE FIRE DEPARTMENT PUMPER TRUCK AND AERIAL
LADDER TRUCK PURCHASES TO INFRASTRUCURE IMPROVEMENTS TO THE
MUNICPAL FIRE ALARM SYSTEM

RESOLVED by the Board of Aldermen of the City of Nashua that the purpose of the
remaining unexpended bond proceeds of up to One Hundred and Fifty-Two Thousand and Thirty
Dollars ($152,030), previously reserved and designated under Resolution R-20-008
(“Authorizing the Mayor and City Treasurer to issue bonds not to exceed the amount of one
million four hundred thousand dollars ($1,400,000) for the purchase of a new 2020 Pierce Arrow
XT red aerial ladder truck and the for the Fire Department’) and Resolution R-18-081
(“Authorizing the Mayor and City Treasurer to issue bonds not to exceed the amount of six
hundred and sixty thousand dollars ($660,000) to purchase of a new pumper truck for the Fire
Department”) is changed as follows:

The original purpose from R-20-008 and R-18-081 was for the purchase of two trucks for
the Fire Department. The purposes for which the funds were originally borrowed is complete
and there will be a remaining baiance of proceeds that is surplus.

The remaining funds will be used for upgrades and improvements to the municipal fire
alarm system. The useful life of the project is 40 years. The following is a brief explanation and

tasks for the project.

Nashua’s Municipal Fire Alarm System provides direct and immediate notification of fire
alarm system activations throughout the city. The Municipal Fire Alarm System is monitored by
the fire alarm operators 24.7/365. Currently the system contains 15 box circuits and six station
circuits. Circuit 15 provides monitoring for properties along the Amherst Street corridor
northerly to the Merrimack town line. The number of fire alarm boxes on Circuit 15 have grown
to exceed the recommended number on a single circuit. A new and distinct pathway across the
Nashua River (Broad Street Parkway) separate from previous circuits is available and would
provide additional circuits and redundancies to the system. Circuit 12 (Main Dunstable Road)
contains only one highway crossing with no spare or additional conductor and a pathway exists
crossing the highway that will allow for additional circuits and redundancies to be installed in
this project, including but not limited to the new middle school project.

LEGISLATIVE YEAR 2022

RESOLUTION: R-22-021
PURPOSE: Changing the purpose of up to One Hundred and Fifty-Two

Thousand and Thirty Dollars ($152,030) of unexpended bond
proceeds from the Fire Department pumper truck and aerial
ladder truck purchases to infrastructure improvements to the
municipal fire alarm system

ENDORSERS: Mayor Jim Donchess
Alderman-at-Large Melbourne Moran, Jr.
COMMITTEE Budget Review Committee
ASSIGNMENT: Board of Fire Commissioners
FISCAL NOTE: Allows $152,030 to be spent on a capital project (municipal fire

alarm system improvements} from unspent bond proceeds
approved under R-20-008 and R-18-081. The approved purchases
of two fire trucks is complete. If bond funds were not repurposed
for this project. they could be used for other capital projects.

ANALYSIS
Resolutions R-20-008 and R-18-081 authorized bonding for the purchase of two trucks for the
Fire Department. Those purchases are complete and there are surplus funds. This legislation
allows those surplus funds to be used for infrastructure improvements to the municipal fire alarm
system. That project can be found in the FY2022 Capital Improvements Program.

The use of bond proceeds is controlled by RSA 33:3-a. They may be spent only for purposes for
which the loan is incurred, except as the statute otherwise provides. If no expenditure of the
proceeds has been made or a balance remains after “completion” of the project, the funds may be
authorized, by a 2.3 vote, for another project eligible for bonding for an equal or longer period,
or the funds may be used to pay principal of the project’s loan as it matures. RSA 33:3-a II. No
public hearing is needed under bonding requirements because the reallocation is not the
authorization of new borrowing. However, this is a supplemental appropriation. Charter Sec. 53
permits specific non-budget, supplementary appropriations. There should be notice and a public
hearing. A two-thirds vote is required under Charter Sec. 56-b for an item or amount not in the
mayor’s budget. A roll call is required under Charter Sec. 49.

This legislation should be referred to the Board of Fire Commissioners.

Approved as to account Financial Services Division
structure, numbers and

amount: By: /s/John Griffin
Approved as to form: Office of Corporation Counsel

me Date Lartie,
Date: | Monts (Opus

A special meeting of the Board of Aldermen was held Monday, March 21, 2022, at 6:00 p.m. in the aldermanic
chamber as well as via Zoom teleconference.

President Lori Wilshire presided; Deputy Clerk Allison Waite recorded.
Prayer was offered by Deputy Clerk Allison Waite; Alderman John Cathey led in the Pledge to the Flag.

To join by Zoom — please refer to the agenda or the website for the meeting link and telephone number.

Let's start the meeting by taking a roll call attendance. When each member states their presence, please indicate if
participating via Zoom state why you are not meeting in person and whether there is anyone in the room with you during
this meeting which is required under the Right-To-Know Law.

Deputy City Clerk Waite called the roll and asked them to state the reason he or she could not attend, confirmed that
they could hear the proceedings, and stated who was present with him or her.

The roll call was taken with 11 members of the Board of Aldermen present: Alderman O’Brien,

Alderman Sullivan, Alderman Klee, Alderman Moran, Alderman Clemons, Alderwoman Kelly (arrived at 6:05),
Alderman Comeau, Alderman Dowd, Alderman Gouveia, Alderman Cathey, Alderman Thibeault, Alderman Wilshire.
Alderman Lopez, Alderman Jette, and Alderwoman Timmons were recorded absent.

President Wilshire to turn the meeting over to Chairman of Budget Review Committee Alderman Richard A. Dowd.

PUBLIC HEARING

R-22-016
AUTHORIZING THE MAYOR AND CITY TREASURER TO ISSUE BONDS NOT TO EXCEED THE AMOUNT OF
FIVE MILLION DOLLARS ($5,000,000) FOR FRANKLIN STREET SCHOOL BUILDING IMPROVEMENTS

Alderwoman Kelly

Alderman O’Brien just for the record, reflect that | go here.

Alderman O’Brien

Okay. Thank you Alderman Kelly. Let the record show that Alderman Kelly has joined the group at 6:05.
Chairman Dowd

Okay, now what we have the presentation up, I’m going to introduce Mr. Shawn Smith, Director of Plant Operations,
Nashua School District, who will explain why we need this bond. Mr. Smith?

Shawn Smith, Director of Plant Operations, Nashua School District

Thank you for having me. I’m in my 25' year as the Plant Director for the school system, so I’ve enjoyed my time
here. I’m looking forward to many more years to come, | hope. I’m also a resident of Nashua now. | moved here
about three years ago to the northern part of the city.

So Franklin Street as you'll find out, houses two programs - our alternative high school program and also the
preschool program. The high school program is an alternative program for youth that have trouble coping in a normal
high school environment. | guess that’s the best way to put that. They have been bounced around quite a bit. In my
years that I’ve been here, they started out at what used to the high school, now it’s the South High School. They
moved up over to the Boys and Girls Club, moved out to Amherst Street, up to Merrimack, which where it became the
Brentwood Program, back to Amherst Street at a different location. So we moved them around quite a bit. Costs
have been rising. We've for the most part, those have all been rental costs except when they were at the South High
School. So we're looking for a permanent home and hope to stop having to paying the rental costs.

At the same time, we’ve been wanting to centralize our preschool programs they are spread out across the District.
By centralizing, we can be more efficient not just one nurse that we need, one psychologist, just more efficient to do
so.

Special Board of Aldermen 03-21-2022 Page 2

The program that we have been able to relocate is the Title One Program. It used to be at a church at the top of Main
Street. We have relocated that program to Broad Street. So the preschool program that was at Broad Street is now
at Franklin Street and the Title One Program has moved there. So we’ve now saved the rental costs that we were
paying out there. About two years ago, we started looking for a permanent home for those two programs. We looked
across the City, had the assistance of Tim Cummings virtually across the entire City, different empty warehouses of
different sizes, and shapes, and conditions but we ultimately decided on Franklin Street. Last winter, we decided to
purchase it. We also had our architect to working with us on the middle school project take a look at it, they gave a
favorable nod that it was in good condition. I’ve been in this business for a long time. So the building had good
bones. It was originally built by Nashua Corporation as a laboratory. It’s mainly cinderblock construction and in good
shape. It had also been previously been used as a Nashua Christian Academy so it had very recent use as a school.
That was first grade through twelfth grade | believe.

So our plan was to put the High School Alternative Program on the third floor of the school and occupy the first and
second floors with the preschool programs. As | said, the Title One Program had already been situated at Broad
Street. Starting last spring, we started renovating with in-house workforce primarily, but contracted out some system
work such as the fire alarm system, public address system, intercom, and telephone systems. So those were all
brand new. Somewhere along that construction path or renovation path, the Fire Department determined that we
could not have high school students on the third floor and preschool students on the first and second floor primarily for
egress purposes. So imagine a fire alarm going off and God forbid a real fire and you have preschoolers on the
second floor trying to egress and the high school students theoretically running over them. So they did not want the
egress path to be the same for those two populations. We did look at alternatives but you cannot have preschool age
students on the third floor. | believe the State kicks in at that point, so that was a no-go. So we did think of that.

So ultimately we moved the Brentwood in on the third floor as planned and we moved the preschool programs at
Broad Street over to Franklin Street and they occupy the first floor. They did have to move the OTPT program to the
basement. The basement is actually in pretty good shape. It has ceramic tile and it’s really fabulous shape. So we'll
be using that quite a bit in the future. The second floor we could not use, so we could put adults there so it became a
place for offices and things like that for the staff if they needed office space. Again, no students could go on the
second floor.

So the lack of inability to use the second floor is really a driving force for this bond. We actually got some pricing from
Harvey Construction a group who also happened to be the construction manager for the middle school project and the
price tag at that point was $1.5 million. That was last summer. That was kind of about the time steel prices started to
shoot up. So we kind of have an idea of what the prices are now. We also did price out the handicap accessible
ramp in the very front of the school and that was at the time about $150,000. In the Harriman’s original assessment
that they did prior to us even purchasing the building, they noted we needed to improve the ADA compliance
bathroom, stairwells, access to the building, flooring, and asbestos abatement. I'll get a little bit more into that.
Pardon me for all the talking. We'll get into some nice color pictures later in the presentation.

So the other thing we knew the bones of the building were in good shape. We knew eventually we’d want to replace
the HVAC system. Everybody knows HVAC (heating, ventilation, air conditioning). So that was our plan at some
point but then unfortunately we went through this pandemic and fortunately the silver lining was that extra funding
became available to us. | don’t know exactly what the acronym stands for but its Brimsy School something Relief
Funds that are made available to us. The City of Nashua, School District - | don’t know where the price tag is now,
but it’s millions of dollars - $29-30 million something like that and we have to spend at least 30% of that on non-
construction items. So those are school programs, that sort of thing to enhance the learnings of children of all ages,
all school levels that lost out during the pandemic. We weren't in school that sort of thing - we weren't learning. So
that’s where at least 30% of it is going to go. We haven't accounted for the remaining 70%. That’s still under
development, but we did put in and we did receive approval from the State for between $5-6 million dollars for Franklin
Street.

Again that fund is set aside primarily for code related things. That really means ventilation. So in our case, it’s a little
bit of a good thing because all the ventilation for the most part is above the ceiling. So what do we have to do? We
have to tear down all the ceilings, we have to replace all the lighting, all the suspended ceiling, and all that is covered
by this construction. What we are going to end up with is removing everything above the ceilings, all the asbestos
piping, covered piping is up there — that’s going to removed, brand new ceilings, suspended ceilings, brand new LED
lighting. Those are all things | hoped to achieve at some point, but over a long period of time not in one fell swoop.
Some of that work has actually already begun. We've almost completed installing a brand new high efficiency boiler
in the basement for primary heat and we will be starting work on the second floor in earnest during April school
vacation break on a not to infer basis. They won’t be making noise or doing an abatement while school is in session.

Special Board of Aldermen 03-21-2022 Page 3

So through this process and into the fall, the Joint Special School Building Committee was handed off the project by
the Board of Education and approved Harriman as the architect and Harvey Construction as the Construction
Manager. More recently, we’ve hired the Engineering Corporation as our consultant for traffic analysis and SLR
International as the GeoTech. We talked a little bit more about why we had to hire those two. We have other
consultants that we have to hire as time goes on.

Some things I’d hope to accomplish this summer with the bonded funds are install those two egress stairwells, replace
bathroom fixtures, and install ADA compliant bathrooms. So we have some individual one seater bathrooms in the
facility, but they’re not ADA compliant. For example, you go in there with wheelchair now and you don’t have the
swing space you need for the door. You have to have that if you’re in a wheelchair for ADA compliance. Stair railings
- particularly for the little kids are just too high. If you are going to the building, you'll see that. The handicap ramp |
talked about. Having been there now for a little over a half year, we’ve seen Some minor changes we want to make.
Dumpster enclosure, the high school program has been asking for an exterior basketball half court and we'd like to
accomplish that and then some site work. I'll talk about the traffic congestion here shortly.

So this slides just summarizes real quickly the cost - how we came up with close to $5 million in the bond request.
We've got pretty good numbers from Harvey Construction on the actual construction costs. We do have proposals
from the architect for their fees, consultants — I’ve named two of them for you before and there are four others that |
still need to hire. Effefanies, furniture, fixtures and equipment in many cases for Preschool we’re bringing their
furniture with them but there are other things we'll have to purchase to outfit the school. Any project | have particularly
relates to construction, | have contingency for and the architect also needs a contingency because they can’t foresee
every single thing, particular those hidden gremlins that are behind walls, site modifications, and then some IT security
issues that we're budgeting a little bit for and Alderman Dowd thought we should round it up to a nice even $5 million
dollars.

So Franklin Street, if you’re not familiar with it, on this slide we are looking at the east side and the west sides of the
school. These are where the emergency stairwells will be installed on the left hand side that’s the east; the stairwell
will almost right at the corner of that building. We've already made the provisions inside the third floor for a hallway to
meet up with that and then on the west side it’s going to be pretty much just to left of that small door that you see on
the first floor, the ground floor.

Just looking at it from the top of the schematic drawings from the architect, those were two egress stairwells would go
- left and right and they’re also showing the handicap ramp on the front of the school. So the way we’ve been able to
get through the ADA issues this year so far is the back entrance has handicap access. Talking to the school Principal
and the teachers, they'd still like to have the handicap ramp in the very front as well.

Just threw this in. It just shows the egress stairwells from the side — what they look like. We might want to consider
covering them but this doesn’t show that. So for icy, snowy weather, it’s something you probably want to consider.

So we'll start showing you several conditions around the site and that goes back to my discussion. Stairwell
modifications - these are the existing handrails that were built for hign school age students. So you can imagine a 4
or 5 year old can’t reach up there. So we have to provide lower rails. Restroom upgrades — | went into the first floor
this past week and looked in the same bathroom. They brought in little stools for the kids to stand on so they get to
the sink to wash their hands. You got sinks that are lower and we need to install those. The same thing with the
toilets. You can buy toilets that are suitable for little fannies so sit down and not have jump up to do what they do. So
we'd take care of all that.

This is the current dumpster. We originally had it on Winter Street (I'll talk about the streets in a second). That was
very congested. We worked with solid waste on the best place to put the dumpster short term and long term. So this
is on the west side of the building and that is where it is. That’s probably where it’s going to end up, but we want to
put a dumpster pad in there and have it fully enclosed with fencing as it should be particularly on a highly traveled
public street.

This gives you a better idea of the site itself. Where the white cursor points in the picture, that’s Winter Street. So the
building directly below it is 55 Franklin Street and that is our building. To the bottom of that is Franklin Street, to the
left is Charles, and to the right is Locust Street. Franklin Street to Charles Street is a major thoroughfare. To the
right, it goes to Main Street and to the left, it goes up to Amherst Street - also is major access to the neighborhood
which is off to the left. So an awful lot of traffic goes through there. It’s very narrow especially on Franklin Street
directly in front of the school and currently that is where we do our drop-offs and pick-ups. I’m looking for the right
word - tenuous, exciting, dangerous because you have people lined up there. You have parents dropping off their
kids. They can pull all the way over and open up their doors and other traffic is trying to get past them, so it’s nota