200 protest water, sewer bill increases in E. Providence

[tflaris]

BY JENNIFER BOGDAN
Journal State House Bureau
EAST PROVIDENCE, R.I. — More than 200 people packed East Providence City Hall Tuesday to protest water and sewer bills that some say have doubled or tripled since last year.
Often shouting criticisms over city officials who attempted to explain the rising costs, the residents were skeptical of the explanations provided. At one point, one woman called out, “You’re all a bunch of liars,” after one official said nothing could be done to modify the existing rates.
Wastewater rates for city residents increased 11 percent on Nov. 1. It was the third increase in three years to take effect under a series of increases approved by a state-appointed Budget Commission in April 2012. A number of residents think that their meters are providing faulty readings, and the city said it’s currently reviewing 300 inaccurate bills.
Shortly after 8 p.m. Tuesday, the police approached a podium at the front of the room and threatened to shut the meeting down, saying an unruly crowd could violate fire safety codes. The crowd heeded the warning, and the meeting continued.
Among the measures taken at the meeting, the council voted to allow residents to pay their current bills in two payments with half of the bill due Dec. 10 and the second half due Jan. 5.
City Manager Paul Lemont opened the meeting by stating the bond payments due on the city’s $52.5-million wastewater treatment plant upgrade project is a driving force behind the rate increase. He then attempted to turn over the meeting to Public Works Director Steve Coutu.
“Shouting is not going to solve any problems,” Lemont said as the crowd began to object.
When one man said the presentation would not solve any problems either, Lemont responded, “If you’ve got that attitude, why don’t you leave then.”
East Providence has struggled with the costs associated with its sewage treatment plant for years.
In 2010, the city entered a 10-year contract with United Water, a New Jersey company that operates municipal utilities throughout the country. Under the $52.5-million contract, United Water agreed to update the city’s water-treatment facility that had been fined for non-compliance with state standards. In the 1990s, the city regularly released raw sewage into the bay during heavy storms, officials said Tuesday.
The city maintains ownership of the plant and sets rates, but United Water operates and manages it, said Kevin Chandler, vice president of United Water.
That answer resulted in shouting from the crowd as some city officials suggested earlier in the evening that they had no control over the rates.
More than two years ago, a state-appointed Budget Commission voted to approve a series of rate increases of 11 percent or more each year. As of Nov. 1, 2012, the sewer rate was $8.64 per 100 cubic feet. On Nov. 1, 2013, that rose to $9.63 per 100 cubic feet, and the rate increased again this month to $10.74 per 100 cubic feet.
The city’s water rate was increased in May 2013 from $2.85 per 100 cubic feet to $3.32 per 100 cubic feet.
Under the current budget, it costs the city $13.8 million to operate the wastewater system this year. The contract with United Water for operation and maintenance of the plant accounts for $4.7 million of that total. Debt service accounts for $4.3 million. Fees paid to the Narragansett Bay Commission accounts for $3.5 million, and other obligations make up the remainder.
Still, a number of residents and some City Council members maintained that the city’s sewer rate problems don’t rest solely with the debt service associated with the upgrade project.
Councilman Helder Cunha said he’s seen situations where people living alone are paying more for sewer than families of five.
“Something is not being calculated correctly with the use of the sewer,” Cunha said. “It’s physically impossible. There’s a disconnect somewhere.”
By the end of the meeting, the council approved a resolution to look into refinancing payments due to United Water. The city has been on track to pay off the wastewater treatment plant upgrades in 20 years, officials said.
The council also voted to look into issuing a monthly sewer and water bill. Currently the bill is on a quarterly billing cycle. A quarterly billing cycle would allow residents to better budget their payments, officials said.
“It’s day to day with everybody. People out here, we live on a monthly budget,” Assistant Mayor Thomas A. Rose Jr. said.
On Twitter: @JenniferBogdan

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