After months of work by the utilities advisory board and multiple public presentations selling the proposed changes to the Island’s water rates, City Council made a motion to study the matter further at a special-called meeting Monday.
The cost of services study was proposed at the behest of the Marco Island Chamber of Commerce and several condominium board members. It provoked an extensive debate at the meeting.
Councilor Wayne Waldack raised the issue first. “I think what we need to do is step back and take a look at we are potentially doing. I don’t want to create two classes because that’s what happened with the STRP. I think we should do a study and it should not be done by the city.”
“We need to address the inequities with homes paying six times more. The (utilities) committee spent lot of time on this we need to hear them out,” countered Councilman Bill Trotter.
Ken Honecker, chairman of the utilities advisory board, explained how the board reached its findings: “We went out to groups and got feedback. The feedback was ‘I don’t want to be charged except for what I use’ and ‘keep the block and tier approach.’ ”
He added, “The majority was for option one because you pay for what you use. Over time, when the debt is paid off, it’s a 100 percent flow on the water side. This will get you to that position.”
In the board-endorsed plan, both water and waste water would have a flat debt service fee and a fee for use per 1,000 gallons used. The option also levels disparity between master meter condos, which pay $3.75 as a base, versus individual meters, which pay $22.
Councilor Larry Mangel outlined the argument for a study and said, “The study would take 90 days and cost about 50,000? People are reacting to an inequity but we don’t know what the costs of services really are. We have to reconcile the irrigation water, the reuse water, individual meters versus condo meters. We have all these parameters.”
Councilor Joe Battle pointed out, “If we trust the board, then we should trust their decision. It’s not right to use the cost of service study to prevent the decision we should make. To not do our responsibility to act, is not right. We spent the people’s money on a consultant to work with committee. The decision is before us. You ask people to go to work for you, based on hours of work. Make the decision that is in front of you.”
Resident Al Diaz argued for the study. “Florida water (the previous owner of the utility) had a number. There must have been an industry standard when they established it. More study has to be done. The Collier County plan was never studied (in committee). Get all the information, just do it once. It’s not political, not emotional.”
Council chairman Frank Recker questioned the consultant who had worked with the advisory board, Robert Orin, extensively about how a study could further the issue.
“In terms of cost of service study, basically you allocate between water and sewer, which you have done, then you allocate it between the classes. (Right now,) waste water is inequitable. I personally think per unit rate is a smart thing to do,” Orin explained.
Amadeo Petricca, vice chairman of the advisory committee, gave a frustrated response to the notion of a new study. “Now we want to kick the can down the road again. I don’t care what study you do. The average rate for master meter is $4.58, a $1.79 for commercial. It’s just unfair to say let’s wait for cost of service on the sewer side. The burden keeps resting on single-family homes.”
The council passed the motion 4-to-3 to authorize City Manager Jim Riviere to locate a consultant to carry out a cost of service study for $50,000.
Chairman Frank Recker closed the issue with a warning: “Let’s be realistic, to the condos and the Chamber of Commerce: start planning for an increase. Don’t come running looking surprised in April or May. This is not a dilatory tactic.”
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Comments » 11
1Paradiselost writes:
Please help! The Sun Times headline is "The Marco Island City Council Monday night approved a 10.5 percent water and sewer rate hike for fiscal 2011". Why don't I see that in this article? Am I missing something?
ajm3s writes:
Again, Hear Ye Hear Ye. The City has an advisory board that engaged in a fairly robust and extensive review and made a recommendation.
This island is capable of addressing its needs and does not require a "professional" consultant review. If you do not agree, then why not disband advisory committees and simply hire consultants to run this city. And why not go further and replace council with consultants?
Mr. Batte continue your efforts to bring saneness to the Council. And thank you for acting on our behalf.
Recommendation: Council be bold and engage in fiscal restraint. Throwing consultant fees to address a problem is from my perspective, confirmation of some on council's weak understanding of the issues you said you would address as council.
ajm3s writes:
This was about the rate structure itself (i.e. variable rates for differing users/classifications). The overall rate increase for 2011 is essentially set in stone, to pay bond obligations and operational costs.
I hope this makes sense. Or maybe I need to hire a consultant to prepare my blogs, since the issues are complex and may require more scrutiny.
LOL
captnjimbo writes:
There was wisdom in this decision, however this study and recomendation should come down sooner than later...not a delay tactic.
marcofriend writes:
The 10.5 percent is there no matter what, but if you own a home on the island, your base rate for sewers charges will be 7 times higher than for master metered condos and even more than that for businesses (just like it has been since we bought the utility). Now we get to hire a consultant to do what this committee worked so hard to do over the last 8 months (plus spend $50,000 to get the same answers).
MarcoJimbo writes:
9.5% rate hike last year, 10.5% this year. Where does it end? The City would have us believe the 5 years of COLA rate hikes before that weren't really rate hikes, BULL! If they can't get Ali Baba Joel and his 40+ thieves under control we should probably "consult" with Polar Water and Port-a-John for our water supply and sanitation needs. The way things are going, it won't be long before they're in the same ballpark!
EdFoster writes:
Having been one for a good part of my life, I have found that the tongue-in-cheek definitiion of a consultant is true more often than not. A consultant is someone from out of town, usually with a leather briefcase, who is hired to tell those who hired him what they had previously told him they wanted to hear. The consultant then leaves town and the client/town is left to handle the aftermath. I didn't fit the definition but most of those I knew did.
Ed Foster
MrBreeze writes:
It's Simple. All users should pay the same and for "actual" use via meter read. Condo buildings with one meter same rate as single family homes. Business same rate with no exemptions or sliding scales.
What is there to study? People like myself and I am shure many others who are not on the island full time are paying full boat for water meters with NO USAGE when the home is not occupied. My water bill is paying for condo owners who are not paying their fair share.
Why do need to spend 50,000 dollars to figure this out??????
ajm3s writes:
The best show in town is the battle of consultants/experts for opposing positions in a legal venue. However, in this venue, when council requests a consultant review, it may be a call to disregard/challenge the decision of the advisory committee under the guise of "need further study".
Now the question is, what do four members of the council want the consultant to say?
Stay tuned, popcorn anyone?
Disclaimer: Provided consulting services but no longer active.
LOL
MarcoJimbo writes:
So... you think the condos are "getting over" with their master meters for potable water consumption and re-use water irrigation. Do single family homeowners pay for fire protection (hydrant) service? Condos do. The condo association where my investment property is located pays $424 per month for 2 8" lines whether used or not. If you really want to level the playing field, try charging single family residences a "hydrant fee". After all, you're already charging master-metered condos a per-unit base rate.
ajm3s writes:
Well well. What do we have here, a "hydrant fee". I suspect there would be problems with charging single family residences a "hydrant fee". Have you read the Eagle article regarding the need for a tanker to serve properties greater than 1000 ft from a hydrant.
The council cannot come to a decision now on rate structure, how the hell will they evaluate "hydrant fee" for homes of varying distances from a hydrant. Please you may be taxing the mental faculties of some councilmen. They may vote 4-3 to ask for another consultant who specializes in "hydrant fee" development.
This water debacle is making me parched. Now the question is do I ask for tap or bottled water? Excuse me waiter (or is it consultant). What do recommend?
I am getting confused all the stories are melding together.
LOL
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