The future of a joint public works department in Damariscotta and Newcastle appears uncertain as the deadline to renew the agreement approaches and officials continue to differ on key issues.
Most notably, Damariscotta Town Manager Matt Lutkus has said he will not reappoint Steve Reynolds as Damariscotta’s road commissioner.
Reynolds has been the superintendent of roads, buildings, and grounds in both towns since the creation of the interlocal agreement in 2011. The interlocal agreement establishes the framework for public works operations in the Twin Villages.
Lutkus said he has been dissatisfied with Reynolds’ job performance for over two years, citing a long list of general and specific grievances.
Reynolds has defended his performance and qualifications and said Lutkus wants to replace him due to personal differences.
The mechanics of the interlocal agreement complicate the issue.
The town of Newcastle employs Reynolds, although he splits his time evenly between Damariscotta and Newcastle and serves as Damariscotta’s road commissioner.
Damariscotta employs a foreman and a seasonal employee who also split their time between the towns. Damariscotta’s employees report to Reynolds.
“I like the idea of sharing a variety of functions with Newcastle because I think that makes sense from an efficiency standpoint, however, the structure of this public works department is not proven to work very well,” Lutkus said.
Lutkus would like to recruit a new road commissioner – either a full-time employee or a contract employee like Damariscotta’s assessors’ agent and town planner.
Damariscotta’s code enforcement officer, harbor master, shellfish warden, and town planner all work part time for Damariscotta and part time for other towns, but when they report for work in Damariscotta, they answer to the town manager, Lutkus said.
He wants to adjust the interlocal agreement to work in a similar manner.
“When they’re in Damariscotta, the public works manager works for the town manager of Damariscotta and runs the organization the way the selectmen and the town manager want to see it run,” Lutkus said.
Damariscotta’s four remaining selectmen “support my decision to appoint someone else as road commissioner,” Lutkus said. “At the same time, though, they’re in support of a continuation of an interlocal agreement for public works.”
Damariscotta Selectman David Atwater resigned over the issue April 1, saying town management was “self-seeking and not listening to the board of selectmen.” (See “Damariscotta selectman resigns, cites differences with management” in this edition.)
The Newcastle Board of Selectmen fully supports the interlocal agreement, according to Chairman Brian Foote. Lutkus’ plan depends to some degree on Newcastle.
“They might want to keep Steve on a part-time basis or they may want to hire him full time, so what we do is dependent on what they want to do,” Lutkus said.
Foote said the Newcastle selectmen “are very satisfied with the job Steve has been doing for the town for the last four-plus years.”
“Probably there wouldn’t even be an interlocal department of public works without Steve,” Foote said.
Lutkus said he supports the renewal of the interlocal agreement only if his expectations regarding the road commissioner can be met.
Should Newcastle decide to retain Reynolds, it would not make sense for the towns to have two road commissioners to supervise the same employees and share equipment, Lutkus said.
Foote said the Newcastle selectmen have not specifically discussed whether they would hire a different superintendent to meet Lutkus’ expectations and preserve the agreement.
“I can honestly say that the feeling of the Newcastle board is not how the (Damariscotta) town manager feels, but how the Damariscotta Board of Selectmen feels, because they are the ones who run the town,” Foote said. “The town manager is an employee.”
“We would be more interested in hearing the viewpoint of the Damariscotta Board of Selectmen versus the town manager,” Foote said.
Lutkus has said the town charter gives him the authority to appoint Damariscotta’s road commissioner. The selectmen must confirm the appointment.
His decision not to reappoint Reynolds “is not going to be a discussion item” for the Damariscotta board and “is not a decision that our board can negotiate with your board,” Lutkus told the Damariscotta selectmen and Foote during an April 1 meeting.
Lutkus also told the board he might propose a management audit to address what he thinks have been “some significant shortcomings” in the management of the interlocal agreement.
Reynolds said the interlocal agreement has resulted in “a substantial increase in the level of services” under his management.
“That’s what this is all about,” Reynolds said. “This is not about micromanaging a department, this is about us increasing the level of services to the taxpayers. You hire professionals, you let professionals do their job.”
The Damariscotta and Newcastle boards of selectmen will discuss the interlocal agreement during a joint meeting at the Newcastle town office at 6 p.m., Wednesday, April 8.
If the boards cannot come to a resolution, Damariscotta could return to a pre-2011 public works department.
A single full-time employee would handle most public works functions and the town would hire contractors for projects the employee could not handle alone, Lutkus said.
“I think a stand-alone public works department could work well here again,” Lutkus said. “It’s not ideal, because I think that putting our resources together, we can hire a higher caliber of employee and get a lot more bang for our buck, but … I think it’s very doable.”
“Maybe it would be a situation where we do that for a while and then the situation changes and we could go back to an interlocal agreement at some future point,” Lutkus said.
“A continuation of shared services,” however, remains the “first priority” and “best option,” Lutkus said.
Lutkus said he would like to see the towns expand areas of cooperation to economic development and energy conservation efforts. The towns already work together on harbor and shellfish efforts and are in the process of further integrating those functions.
