Water rates make waves

Jennifer Smith - Vernon Morning Star Published: December 23, 2010 6:00 PM
Some preliminary numbers are flowing through the pipeline, looking at water rates for 2011, and they don’t look very good.  “It’s not going to be well received, I don’t think, by the public,” warns Coldstream Coun. Gyula Kiss, who has analyzed the numbers.  A working document was given to members of the Greater Vernon Advisory Committee (which Kiss is an alternate director on).  There are three options outlined in the document, explains Kiss – low, medium and high water changes.  Based on the 2010 costs, Kiss said the options represent significant increases – ranging from 17 to 123 per cent.  He says the base fees alone (not including charges for actual water usage), will bring in $4, 6 and 8 million respectively from low, medium and high water users.  “Those are taxes, those are not user fees,” said Kiss.  “There are major implications. Perhaps it’s going to be a major uproar from the population.” The numbers are not proposed, they are only a working document. “It’s really a calculator more than anything,” said Al Cotsworth, Greater Vernon Water manager. “For their review.”

No proposals have been made, but a water rate does need to be set for 2011. And the rate needs to cover the approximately $8 million it costs to run the system, plus an estimated $3 million to pay back borrowed funds for system improvements, according to Kiss.  “It (working document) is something that the committee is supposed to be chewing on,” said Kiss.  Coldstream Mayor Jim Garlick, also a GVAC director, has concerns that GVAC may be rushing into any rate changes.  “We were told that they were looking at the second quarter of implementing this,” said Garlick, adding that there will be meetings in the new year to discuss water rates.  “We want to proceed cautiously with this and not jump into something and have to go back and make corrections.” Timing is also a concern due to the fact that the Duteau water treatment plant hasn’t even been running for a year now.“We haven’t really lived it, we’re guessing a little,” said Garlick.