The meeting was all too mind boggling other than grabbing the cash. At Tuesday night's commission workshop meeting on the 2020 Infrastructure presentation, it was mentioned, on more than one occasion, that Burton & Associates had told us that we needed to raise our water rates at 5% for 5 years. So, by adding another 3% to that rate to pay to replace all the 2 inch water pipes costing $14 million through year 2019 was no "biggie" in their eyes...what's another 3 percent? It is all compounded over years. The power of compounding was said to be deemed the eighth wonder of the world - or so the story goes - by Albert Einstein.
Rate projections have changed over the last few years.
In actuality, Burton & Associates recommended the following in 2012, the last rate study that was presented to the commission--Subsequently, there is a new rate study dated July 9, 2013. Perhaps this was presented during last year's budget process but I don't recall it. The public is told less and less or on a "needs basis."
Although not relative now, because the city wants to spend bucko bucks of your money for a roads infrastructure program, (re-building half the city from the ground up) below are excerpts from the 2012 Utility Rate Study Update for Lake Worth by Burton & Associates:
Water System:
Reduce rate adjustment for FY 2013 from 5.25% to 0.00%
Adopt new multi-year schedule of rates as presented through FY 2016
0% in FY 2014, 4.50% in FY 2015 and FY 2016
Regional Sewer System:
Reduce O&M rate adjustment for FY 2013 from 20% to 15%
Continue efforts to receive full payment from members
Consider adopting FY 2014 rate adjustment of 5% as presented herein
Local Sewer System:
Reduce rate adjustments for FY 2013 from 13% to 0%
Do not adopt any future rate adjustments at this time
Dependent upon resolution of Regional Sewer collection issues by FY 2015
**Now things have changed due to the Regional Sewer settlement and the Capital Improvements Fund**
Going back to Water, while the FY 2013 RSA confirms no need for a rate adjustment in FY 2014, slightly larger annual rate increases of 5.00% per year are required starting in FY 2015 in order to provide sufficient funds for a larger multi-year capital improvement program (CIP). The five-year retail rate adjustment plan developed in the FY 2013 RSA is presented below.
FY 2013 RSA RATE ADJ. FY 2014 FY 2015 FY 2016 FY 2017 FY 2018
Water Rate Adjustment 0.00% 5.00% 5.00% 5.00% 5.00%
Avg. Res. Bill (5,000 GAL) $32.65 $32.65 $34.28 $36.01 $37.80
Monthly Increase / Yr. $0.00 $1.63 $1.73 $1.80 $1.89
Historically, this enterprise fund has faced significant challenges related to the disproportionate burden of wholesale costs from the Regional Sewer Enterprise Fund. That's what the report said.
The above does not seem to be quite the same as the rates presented on Tuesday night. The city commission is still reducing the electric rate each year until it is in parity with FPL all to attract investment. Screw the water users, though. The city will make up that monetary loss on the other end of the utility. If the majority of the city can no longer afford to water its lawns, then the entire place will turn to weed...slum...blight and then NO ONE will want to move here. I was estimating how much more it would cost our condo association on a yearly basis, if the city decided to go out on a revenue bond based on their figures and our last water bill,--- $4,047 more in year 2015 and $5,506 more in year 2019. Is that possible?
10 comments:
what they don't make on the peanuts they make on the popcorn
" RATE INCREASES of 5.00% per year are required starting in FY 2015 in order to provide sufficient funds for a larger multi-year capital improvement program"
THE UNDERSTATEMENT OF THE CENTURY
Do oyu notice how sneaky that is?
"**Now things have changed due to the Regional Sewer settlement and the Capital Improvements Fund**"
Lynn, normally I'm very critical of your observations, but it seems this time you've got it right.
The above quote is important but you didn't state how things have changed. Instead of being owed millions of $ from our neighbors, it seems they owe us diddly and we owe about $2 million? (?)
That would definitely have the effect of raising the water rates to help pay for it, right?
They owed it. We couldn't prove it. Receipts were missing and bookkeeping was shoddy. We failed to bill them. It was a crappy finance department and a crappy city manager. It just seems we can't do much right at times and we continually write lousy contracts..
Can we just unincorporated this dung heap and go with the county? At least I won't get double taxed for two portions of nothing.
How can they possibly ask poor people to pay for something like this? Increase a water bill like that and pay for a bond?
how about the code dept working overtime until every property that is a code violation gets fined and then collect it be putting it on their tax bill--but first we have to have code do their job right the first time----
Do yourself a favor and go listen to what is FINALLY happening with our code department. William Waters has been working for the past three years and pretty much starting from scratch to bring some professionalism back to the department and things are starting to happen fast and systematically.
He and his Code Enforcement and our Building Official are speaking at Neighborhood Association meetings. You will hear of "waves" of demolitions, neusence abatements and team efforts with the PBSO to address long standing problems all over town.
"...finally happening..."
Yes, William Waters has been working arduous hours to bring things up to snuff. We have some good code officers on board. But instead of dropping in at a neighborhood association meeting, what about the city manager giving a report, for a change, and clue us all in on all the strides and/or achievements going on with code and the PBSO. What about a commissioner? You want to market the city, then that would be a good way to start. Let's see the evidence. Let's hear about it. You talk about 2 demolitions that cost $14,000...what are we spending to clean up the mess? What's the budget? What are the goals, specifically, for 2014?
"Life, Liberty and the pursuit of Happiness" was going to be
"Life, Liberty and Property."
Property was dropped because of slaves being property at the time.
What William has actually done (and nearly every other city planner in the USA trained by the APA) is reverse private property RIGHTS and create "Acts of Pretended Legislation" enthusiastically supported and signed by our oath ignorant elected reps. Sure it all sounds good on paper but I see MORE.
Like the ability to Steal (Take or Eminent Domain) property for developers. Ask the Pirate on the Dais - maybe that's why he's silent! I'll even go out on a limb and predict the 1st to be taken will be the trailer park by the Tri-Rail for TOD! 5 of the 6 Projects being promoted are in CRA which means the City GETS 0 increase in taxes - the CRA gets the increase.
The City gets 0
The CRA gets the $$$
So how do we fix it? ASK US! There is genius in this town and the ability to create a solution will not be known till WE ARE ASKED!
Post a Comment