HOME‎ > ‎eGovernment‎ > ‎Boards & Committees‎ > ‎BOARD OF HEALTH‎ > ‎

Financing Septic System Improvements

The Board of Health for the Town of Hopkinton has received funding approval from the Commonwealth of Massachusetts - Department of Environmental Protection to prepare and administer a septic system repair program. This program, referred to as the Community Septic Management Betterment Loan Program, will enable our community to provide financial assistance to homeowners living in designated environmentally sensitive areas to upgrade failing septic systems. Through this Program, the engineering and general construction costs associated with upgrading a failed septic system either by connection to an existing sewer main, or replacing the on-site disposal system will be provided as a low interest loan to homeowners. The loan will be paid back to the Town of Hopkinton with payment of your real estate tax

The Betterment Law
Under a revised state law, every town and city in Massachusetts has the option of providing financing for replacements or upgrades of failed septic systems. This is done in much the same way many communities currently undertake public works improvements, such as the paving of roads and the installation of sewer or water mains. The Betterment Law allows a community to create a loan fund that must be authorized by Town Meeting vote. The loan fund pays for Board of Health approved upgrades to septic systems. The Community recovers those costs from homeowners receiving loans by assessing annual betterments on the individual homeowner’s property tax bill.

Financial Assistance Terms
Financial Assistance consists of a five percent (2%) loan, that you, the homeowner, repay with each real estate tax payment. Loan repayment may be over a 20-year time period. Loans may be paid back early, without penalty.

Elderly Deferral
Elderly homeowners, eligible for a real estate tax exemption under clause 41A of Section 5 of Chapter 59 of the General Laws may request a deferred payment loan. Eligibility has to be applied for and determined each year. As long as the applicant is eligible for the exemption this type of loan does not have to be paid back to our community, until the property is sold or transferred. The authority to have a deferred payment loan program must be specifically approved by Town Meeting vote. Loans may be paid back early, without penalty.

Community Yearly Program
Each fiscal year, the Board of Health will provide a number of loans to homeowners located in designated environmentally sensitive areas based on the availability of funds in that fiscal year. The number of homeowners provided loans will be based on available money and the priority set for the specific location of the property within the environmentally sensitive area of the town. Your application will be kept on file, regardless of whether you qualify that particular year. Notice will be provided yearly, of homeowners standing, through the issuance of a priority list. Setting of priorities within the designated environmentally sensitive areas will be based on environmental concerns, such as the proximity of the failed septic system to drinking water supplies, surface waters, and wetlands.

General Assistance
If you are eligible for a loan, the Board of Health will assist in the preparation of a Betterment Loan Agreement for your execution. Upon completion of the loan agreement, the Board of Health will assist you and/or a designated family member with completion of the upgrade of the septic system. All bills incurred for the work are submitted to the Board of Health for payment.

For Further Information
For further information on this program, please contact the Board of Health, 508-497-9725.