Are the new water rates for the district and for Southport residents fair? In April, the trustees of the Boothbay Region Water District asked Supervisor Jon Ziegra to find out. According to the Maine Water Company, the answer is yes.

Ziegra sent the facility's budget, master plan and amendments (the Southport project), 2011 audited financial information and the then draft version of fiscal year 2012's financial information to controller Greg Leighton and engineer Steve Cox at the Maine Water Company.

Leighton and Cox were asked to review the information and to forward their findings, particularly related to rates to the district.

The Maine Water Company is a public water utility that owns or manages 15 water systems that collects, treats and distributes potable water for homes, businesses and fire protection service. It has approximately 16,000 customers in 17 Maine towns.  

On May 24, Ziegra met with Leighton and Cox. Their conclusion was that the district's rate structure, along with the rate hike scheduled for January 2014 is appropriate. The rates are meeting capital investment and maintenance needs, they said.

“The rates were formulated without Southport, but with the extra customers and the pending infrastructure project there, those rates will cover the cost with the numbers we have right now,” Ziegra said in a phone interview on June 4. “The rates will help put viable fire protection there and take care of ground water issues on Southport, or in any other area the district serves.

“Without rate increases, you end up ticking away at capital reserves necessary for maintenance and infrastructure,” Ziegra said.

All rate hikes must be approved by the Public Utilities Commission. Ziegra said it takes about a year for approval after the PUC has had all questions answered. For BRWD's last rate hike request, Ziegra had to fly in an expert for the hearing to satisfy the PUC. Once satisfied, the commission schedules the date any rate hikes are to begin.

Cell tower update

AT&T will be allowed to attach cellular equipment to the Mt. Pisgah Standpipe. On May 28, the Boothbay Harbor Board of Appeals overturned Code Enforcement Officer Geoff Smith's earlier denial of AT&T's application.

According to the town's zoning ordinance, wireless communication facilities are not permitted in residential zones. Smith, Board of Appeals Chairman Tony O'Neill, an AT&T attorney and AT&T representative Dave Cook were in attendance.

“The water tower already has an antenna on it for the water department and a repeater,” O'Neill said in a post-meeting telephone interview. “There wasn't opposition from residents in the neighborhood around Mt. Pisgah, so it seemed to be the right thing to do.”

“There will basically be eight-foot pylons on top of the water tower that will be painted the same color as the tower,” Smith said. “There will also be a small structure at the base of the tower for other equipment.”

BRWD audit report

Auditor Hank Farrah of Runyon Kersteen Ouellette (RKO) of South Portland, described the 2012 financials as “overall very clean.” His only issues: the sinking funds were too low for a third year in a row and segregation of duties in the front office were not as preferred. Farrah said this was not unusual in small districts to have one person collecting cash with access to the receivables list and making bank deposits. “Everything was fairly stated and materially correct,” Farrah said. “This is the best audit I have ever had here.”

Other reports

Flow is down significantly in the treatment plant. Ziegra attributed this to temperatures, rainfall and all of the repair work completed on water mains within the district.

Ziegra suggested adding Campbell Street to the district's project list. He told the trustees there are chronic water quality issues there. Ziegra is suggesting the district loop the six-inch main on Campbell into the 12-inch main that comes down from Mt. Pisgah. The distance from the Campbell Street main to Pisgah is 662 feet. The trustees agreed to get the project on the list.