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Board of Public Works
Commissioners made a
unanimous decision to raise
rates last Thursday at the
August 16th meeting. The
Board of Public Works
Commissioners held a monthly
meeting in order to discuss the
previously suggested 4%
increase in rates. In the August
1st edition of the Advertizer-
Herald, an article titled, "BPW
Manager explains rate increase,"
explained the upcoming increase
on September 1st billing
statements. Due to the previous
board meeting not having
enough members present to
make a vote on the increase, the
decision was made Thursday to
follow through with a proposal
from Navillus Utility
Consulting, LLC (NUC).
This increase in rates will
allow each department to
become, "self-sufficient and not
dependent upon cash flow from
[other] departments to subsidize
rates." Board of Public Works
Manager, Will Martin, stated
that making these increases now,
rather than later, will save the
community money. Dr. Marion
Dwight, chairman of the BPW
Commissioners, said during the
meeting that it was better to
make these increases now, rather
than later, when the increase could be even higher.
Not only is the increase in
rates due to a future goal of
having self sufficient
departments, but the price the
BPW pays for the utilities from
Santee Cooper and the Southeast
Power Administration (SEPA)
has also increased. Therefore,
this would of course lead to an
increase of rates.
The final reason for the
increase in rates is to bring the
cash reserve of the BPW to the
desired $5.5 million rather than
the current $3.9 million. With
the cash reserve at this amount,
the department can avoid paying
interest on loans, which may
have been obtained for the
maintenance of equipment.
Matt Medlin, a
commissioner for the BPW,
asked during the meeting, about
"shopping around" for other
places to purchase utilities. In
December 2012, when the
contract with Santee Cooper and
SEPA has ended, the board will
have either found another place
to purchase utilities, or will
continue with the same provider.
Either way the board decides to
go, an annual review, of the
proposed plan from NUC, will
determine future rate increases.
The board was very
concerned about the financial
situations the community may
face with these increases.
Knowledge about "going green"
is crucial to keeping
utility bills at a minimum, and
any information needed can be
obtained from the BPW. Any
further information or questions
may be addressed by contacting
the board at (803) 245-5128. |