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PSA adjust rates, avoids rift
An hour long work session of members of the Halifax County Public
Service Authority on Friday afternoon assuaged the sense of unfairness
that Halifax Town Council members and Town residents complained of
during last Tuesday's public hearing on the proposed rate schedule for
water and sewer users in the urban planning area.
Council members and residents complained that the rates for the Town
were way out of line with those to be charged to South Boston users and
they asked for equity in their bills. I really regret that we didn't get
ahead of the inequities in the rates, said Doug Bowman, who chairs
the Authority. I'm sorry about this, it was certainly not intentional.
Bowman noted that members had lost their focus on the rates because
there were so many details to be attended to as the new Authority
begins operations. He also explained that he thought the comments made
during the Tuesday night hearing were very valid ones, and ones that
had led the Authority to revise the rate schedule.
After the new rates were revealed Halifax Mayor Leon Plaster, who had
said he could not support the earlier advertised rates commented, it
is my personal belief that concerns about unfairness have been
addressed and that should move the process forward. He noted,
however,
that there is still a problem with smaller users who use 2,000 gallons
or less.
The rates now proposed following the Tuesday night public hearing show
the small user of less than 1,000 gallons bi-monthly paying $38, up
from the current fee of $30.80. South Boston users will pay the same,
down from their current $40.54 bimonthly bill. That charge is projected
to remain the same for the next ten years, through 2017.
Users of 2000 to 2999 gallons bi-monthly will pay $50.70, also the same
as South Boston customers with their bills gradually increasing over
the ten years to $56.50.
Halifax and South Boston users of 4,000 to 4,999 gallons will pay
$63.40 next year with their bills increasing gradually to $75.00
bi-monthly over the next ten years. Authority member Rick Harrell
pointed out that all customers who use less than 6,000 gallons of water
will pay the same rate ó whether in Halifax or South Boston.
For some of the more average volume users, those between 8,000-8,999
gallons the Halifax customer will pay $95.80, down from the current
rate of $96.50 while the rates will drop six cents for South Boston
users to $88.80 from $88.86. Over the ten year period Halifax customers
will gradually increase to $117.20 and South Boston users to $112.00.
Because Halifax has so few out-of-town customers Authority members
decided that their rates will be the same as those of Halifax in-town
users.
Larger volume users of up to 25,000 gallons will see their rates in
Halifax drop from $271.70 to $261.40 with South Boston users of the
same volume paying $190.40, up from the current $185.50. Over the
projected ten year period, Halifax users will pay $275.60 while South
Boston users will pay $260.50.
For unmetered sewer only customers of which there are 41 in Halifax,
who currently pay $73 bi-monthly, the rate is proposed to drop to $65.
The 245 unmetered sewer customers in and out of South Boston who
currently pay between $52 and $92, the rate will also be $65 as will be
the rate for the 32 customers on Grubby Road who currently pay $70. The
two unmetered sewer customers of Clover, who currently pay $76, will
also pay $65. A sewer charge of $50 bi-monthly will be assessed to the
50 unmetered sewer users in Riverdale who are currently paying $36.
For customers of the VIR system, the proposed base water rate will be
$6 with a volume rate of $9.45 per 1,000 gallons. The sewer base rate
is proposed at $32 with a volume rate of $8.15 per 1,000 gallons.
The new rates will be advertised for public comment on Wednesday,
February 13 in the second floor meeting room of the Mary Bethune
Complex and the Authority will take action on their approval following
that meeting. The rates, if approved, will not become effective until
March 1, rather than the earlier proposed deadline of January 1, 2008.
In the interim period water and sewer customers will continue to be
billed by their respective providers, the Town of South Boston, the
Town of Halifax or Halifax County.
Authority members were also questioned about proposed water and sewer
connection fees, as well as facility fees, which a local developer said
could cost new home owners in excess of $4,000. But Harrell reminded
his listeners that when you grow, you have to put money aside to
cover
the capital costs of that growth. The small users of the system should
not have to pay for new houses. If we subsidize (new construction), the
revenue comes from current users, he said. He had earlier pointed
out
that the Authority is starting out with no cash and no taxing ability.
We have to be able to pay our bills, he explained noting that
revenues from the system are their only source of money.
In earlier business, the Authority approved some housekeeping matters
dealing with the retirement and group health care payments for
employees of the Authority, who currently are employees of the two
towns and/or county.