1. TOWN OF EASTHAM ANNUAL TOWN MEETING MONDAY MAY 7, 2012 1

2. MUNICIPAL WATER: WHAT IS TOWN MEETING CONSIDERING? Town Meeting is considering a motion to build the primary infrastructure (Phase 1) for a municipal water system including: Three municipal wells and water towers 12 and 8 inch pipes along Route 6 and Herring Brook Road Cross street connections such as on Governor Prence, Samoset Road, Kingsbury Beach Road, McKoy Road and North Sunken Meadow Main line service on Schoolhouse Meeting House, Old Orchard and Higgins Roads 2

3. PHASE 1 WELLFIELDS TRANSMISSION MAINS STORAGE TANKS CONNECTION OPPORTUNITIES: 1391 total 1157 residential 68 commercial 166 other 3

4. MUNICIPAL WATER – PHASE 1 BENEFITS THE WHOLE TOWN Phase 1 of the water system provides: Fire hydrants within 1,000 feet of 75% of Eastham homes Water service opportunities to 68 town businesses and 1157 residences The infrastructure to extend town water in the future to other places, especially where well water has degraded 4

5. MUNICIPAL WATER – PHASE 1 WHAT ARE THE COSTS? Phase 1, based on detailed engineering estimates, would cost $32 million The tax cost of phase 1 is $0.78 per $1,000 of assessed property valuation (Not Betterments) For the average property valued at $400,000, additional taxes would be $312 in the first year (2015-2016) and decline each year thereafter 5

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7. MUNICIPAL WATER WHAT ABOUT A TOWN-WIDE WATER SYSTEM? The Board of Selectmen is still in support of the development of a town-wide water system and initially proposed Town Meeting consider a $111 million project to provide town wide water. After months of consideration, many public meetings, and considerable input from the public, the Board decided it is more affordable to the taxpayers to build the system in phases, especially since the first phase of the system benefits all residents. 7

8. ARTICLE 18: MUNICIPAL WATER 8