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CFPUA Board approves rate increase

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WILMINGTON, NC (WWAY) -- The Cape Fear Public Utility Authority Board this morning approved increasing rates starting in May.

CFPUA says the average bill will go up 4.4 percent or about $2.70 a month.

The move helps address an eight-percent decline in consumption in Fiscal Year 2014 and a projected reduction in usage in the next fiscal year. It comes after the CFPUA board voted in February to cut the utility's budget $1.2 million.

The rate approved today will move the residential uniform rate from $3.42 per 1,000 gallons for water usage to $3.67 per 1,000 gallons, and sewer usage from $4.21 per 1,000 gallons to $4.56 per 1,000 gallons. The new rates will take effect beginning with bills dated on or after May 1.

The changes do not affect the fixed base rates, which CFPUA says accounts for about 40 percent of the average customer's bill.

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Come On Mr. McGill be a *Stright Shooter**

We are a revenue-neutral, nonprofit utility. The only revenue we take in is from user fees and rates. We do not receive tax dollars and the money we take in goes back out in services. We pay the same increased prices from year-to-year as everyone else in the region, including market rates for the chemicals needed to treat your water and wastewater.

Being a NON-PROFIT UNTILITY, WHY is Your admitted paycheck so high for be a "Public Relation(s)Mouth Piece? 95K (If I recall), is this with Benefits + health care + pension(s) AND Perks? Seems to Me , Oh somewhere around 90+ % of Non-profits, *management Fee(s*)& Over head take-up I betting 20% of our cost(s)...
I'm inclined, as others are YOU and the *management* should take a *PAY DECRESE*, to "off-set" cost(s) to Us, the Citizen's of New Hanover Co., that are PAYING YOUR PAYCHECKS... Health care and Benefits. WHAT are your Pension Plans? (Golden parachutes)?

Have you looked ELSEWHERE in the Market for those "chemicals", On the Open Market, to find the cheaper Materials, thus, reducing COSTS!

Our approach to setting our water and sewer rates recently received substantial support from the findings of the UNC School of Government’s Environmental Finance Center. Last month, in its annual statewide study of 372 water utilities, the Center gave CFPUA excellent ratings for the Authority’s rate-related work. Using the study’s new, online dashboard, the Center places CFPUA in the middle of its GREEN (optimal) zones for just about every rate-related category, including overall affordability, dollar-for-dollar totals and project costs recovery.

There's only one Sentence for this Statement...

Oh two Maybe...
You can give Me Four figures, AND I can give you any, Dern Outcome you desire to your intended Audience...
As Mark Twain once said;"Lies, damned lies, and statistics", I don't put much validation coming from a mostly Liberal College Study, so How much did CPUFA give to *FUND* this Study to get your favorable outcome? What if; WE the Public Did Our own Independent Study, (with our own resources), I'll bet We could get a very much different Outcome, (AS NOTED with the Tax Incentives to the Movie Industry Issue)....


CFPUA's financial condition also received high marks from the Center; they placed CFPUA squarely in the GREEN (optimal) zone for six of its eight categories including: revenues v. expenditures, debt service coverage ratio, operating budget ratio, cash on hand, quick ratio, and asset depreciation.

I bet bet ya'll did... You should have Revenues vs Expenditures, Should Operating budget Ratio be included with *Expenditures*? correct?

I can understand Cash on hand, eg: Pay Employee:s Paycheck(s), INCLUDING some rather,, errhrrrm, very HIGH Paycheck(s)...

Last couple words...quick ratio, and asset depreciation.

I'm assuming these a Municipal Bonds on the Market Or what-ever these Bonds are, care to Give us a Hint? Quick Ratio, can Only mean one thing, ARE THEY LEVERAGED or Hypo~creation(s) in the stock Market, WHO OWNS them? What is the Calucations on the Debt Service Ratio? You mention *Asset depreciation*, On what exactly, these BONDS or OUR Infrastructure? Or some Alithograms, in a HFT Computer on Wall Street? SEE--> GOOGLE--> Jefferson COUTY Al.. Folks , Official's are in Prison, with what Happened with there City/County Water Improvements, and outlandish raises/rates, that the Citizen's are NOW paying for Their, water & Sewer Rates..Furthermore; Remember, it's not how many dollars (whatever) you have -- it's what they buy! eg: WATER/sewer

The problem with "inflation" isn't the one-time hit. It's that such rates, (BONDS) are compounded. Over 30 years a "mere" 2% inflation rate costs you nearly half -- 45% approximately -- of your purchasing power & Expenditures .

"How can 2% hurt me?" you answer. This is how. Answer Me this Mr. McGill..

NOW, onto your NEXT POST...

The reason the CFPUA was created was because the city and the county had kept their rates and fees artificially low for decades, leading to rapidly failing infrastructure when they reached the end of their useful life. You had a moratorium placed on future development because your systems were failing so much and the repair work was forced to begin right at the beginning of the economic downturn.

Be straight with US Citizen's, Mr. McGill, YOU are saying OUR Past and CURRENT, County/City *commissioner's/et al, (county & city Government's), Let Real estate developers, Run Wild with development's(s), eg: GROWTH with the City/County sewer/waters System(s), ONLY considered as a "afterthought", Water & sewer needs leading to numerious "Spills" into the City/County Proper? ARE these the People WE have too Blame? (Answer Honestly); AND think about *WHOM* your electing Folks....


As shown in our public presentation, and supported by the UNC School of Government, we are operating today at lower budgetary levels than the city and the country were before CFPUA was created. You would be paying MORE if the CFPUA had not been created.

Doublespeak right here--> quote:The reason the CFPUA was created was because the city and the county had kept their rates and fees artificially low for decades...end quote....

Finally, investing in infrastructure provides as great a return on investment as you can get. Not only were we able to get the moratorium lifted quickly, but we have been able to cut the number of sewer overflows by one-third in our five years. The amount that was been being spilled into rivers, creeks and streams has been cut 70 PERCENT. Even the government Consent Decree that stemmed from the sewer issues that were strangling development was reduced in scope because of the work CFPUA has been doing.

EQUALS= DEVLOPERS CAN CONTUIUE RUN WILD
fOLKS READ BETWEEN THE fLUFF & bs... THATS BEING fed TO you....

Free boat rides

Mike McGill from CFPUA here. I'll be out on my new boat this weekend so feel free to contact me and I'll take you for a ride.

Ya'll drive brand new

Ya'll drive brand new trucks, and make pretty nice money. Maybe you should cut some of your own salary's to take care of us not using enough water because you told us to cut down. So tell me again why you keep raising our rates???

They do it because they can.

They do it because they can.

Offer to visit our Sweeney Water Treatment Plant

I've extended this offer on another comments section, so I will gladly make it here. If anyone would like to tour our Sweeney Water Treatment Plant to see just what it takes - and costs - to MAKE your drinking water, email me at mike.mcgill@cfpua.org and I will gladly help you set up a tour for you and anyone else who shares your concerns.

Non-Profit? We should all

Non-Profit? We should all feel bad and send donations so that we can raise your salaries. Only the guilty would get on here and try to defend their actions. Truth comes out on its own! my water and sewer is as high that chart shows in the Report and I use half of the 5,000 gallons that is mentions. This is exactly why I'm in the process of reviving my well. Couldn't be any sooner. See ya later CFPA!!

rent

I guess that means another reason why I should expect a rent increase. Man I am so glad this is a cheap place to live (sarcasm). It is getting ridiculous.

wonderful

Mike McGill from CFPUA here. Now daddy will have fuel money for my new boat. Thank you Wilmington, keep on flushing.

Mike McGill actually here...

We are a revenue-neutral, nonprofit utility. The only revenue we take in is from user fees and rates. We do not receive tax dollars and the money we take in goes back out in services. We pay the same increased prices from year-to-year as everyone else in the region, including market rates for the chemicals needed to treat your water and wastewater.

Our approach to setting our water and sewer rates recently received substantial support from the findings of the UNC School of Government’s Environmental Finance Center. Last month, in its annual statewide study of 372 water utilities, the Center gave CFPUA excellent ratings for the Authority’s rate-related work. Using the study’s new, online dashboard, the Center places CFPUA in the middle of its GREEN (optimal) zones for just about every rate-related category, including overall affordability, dollar-for-dollar totals and project costs recovery.

CFPUA's financial condition also received high marks from the Center; they placed CFPUA squarely in the GREEN (optimal) zone for six of its eight categories including: revenues v. expenditures, debt service coverage ratio, operating budget ratio, cash on hand, quick ratio, and asset depreciation.

But you don't have to take my word for it, you can see the results for yourself at http://www.efc.sog.unc.edu/reslib/item/north-carolina-water-and-wastewat...

CFPUC

CFPUA, THE NEW RATE INCREASE ACTUALLY IS FOR THE USAGE OF FEB-APRIL.
IT WILL SHOW UP ON YOUR MAY BILL.
THIS IS NOT RIGHT.
IF THEY WANT TO INCREASE THE RATES, THEN IT SHOULD BE ON THE MONTH OF MAY USEAGE.

THERE WAS NOT A PUBLIC HEARING FOR THE FEB-APRIL UESAGE.

its funny we use less water

its funny we use less water to save money and cfpua gets mad and raises rates, makes no sense.

Look at it this way....

That's about the average employee raise given out in the Wilmington area...right?
So...the CFPUA rate increase is covered.

UP it goes

I don't understand CFPUA. They are dead set on getting money out of you one way or another. They want people to cut back on water use and once people do they raise the rates because of it.

I still never figure out why the city gave water system away. Tax payers paid for it with tax dollars and money for the water use. Now all we hear is rate increase from CFPUA.

I'm with you JJ....CFPUA

I'm with you JJ....CFPUA sets a limit for the household usage and then states that if you go over that usage we are going to charge you more. So the citizens make a conscious effort to not go over that limit and what does CFPUA do...they raise their rates. They had this planned the whole time....tell everyone to save just so they can come back a year later and raise their rates. This company is a joke. I still remember when CFPUA was first formed....they raised the raise then gave one of their own a HUGE paise raise. But they will tell you one had nothing to dowith the other

City ownership of its systems

The reason the CFPUA was created was because the city and the county had kept their rates and fees artificially low for decades, leading to rapidly failing infrastructure when they reached the end of their useful life. You had a moratorium placed on future development because your systems were failing so much and the repair work was forced to begin right at the beginning of the economic downturn.

As shown in our public presentation, and supported by the UNC School of Government, we are operating today at lower budgetary levels than the city and the country were before CFPUA was created. You would be paying MORE if the CFPUA had not been created.

Finally, investing in infrastructure provides as great a return on investment as you can get. Not only were we able to get the moratorium lifted quickly, but we have been able to cut the number of sewer overflows by one-third in our five years. The amount that was been being spilled into rivers, creeks and streams has been cut 70 PERCENT. Even the government Consent Decree that stemmed from the sewer issues that were strangling development was reduced in scope because of the work CFPUA has been doing.

CFPUA creation

Mike,

I have to disagree with you on why the CFPUA was created. It was created because our city and county elected officials were just too darn lazy to do their job.

Infrastructure

Correct me if I'm wrong... But you were given all this grant money to fix the infrastructure and you turn around all got rid of perfectly good working trucks and equipment to buy all new stuff and look good. Then..... Oops... We have have to pay this money back? Here come the rate increases. How many rate increases is this now since you came about? 8? 9? Wow. Wish I could get a raise that fast.

mike McGill

Thank you, Mr. McGill, for your explanation. The fact you seem to be missing is that many of us who cannot afford these continual increases are trying our best to conserve. We take short showers, flush the toilet less, use rain barrels and are thankful for Mother Nature's gifts of rain. And yet the bills keep going up. Is there no end in sight? So do we need a drought to lower our water bills? I think CFPUA a most ill run business, without long term plans to handle rate increases for the future.

Rate increases

Ms. Anderson, I just came across your comment and I'd like to address it both here and on the phone if you'd wish to talk. Here's why you rate increases are almost certainly here to stay and why it's actually a sign of a well-run business, not one beholden to the whims of politicians who keep prices depressed to win votes and kick major responsibilities to future generations. That's where the mismanagement occurred.

Aging infrastructure at the same time we are seeing declining consumption is a national problems. For decades, you paid less than the cost for your water and the systems that brought it to you and took it away from you. They were out of sight and out of mind. Then, because they weren't cared for, they began failing at an alarming rate. Here, because of poor management, you had a moratorium placed on development because your sewer system was so bad, you were putting your environment at risk. That's why CFPUA was created. And in five years, because of proper management, we have cut the amount of sewage spilled by more than SEVENTY percent.

Your systems include 2,000 miles of water and sewer mains, and many of them are old and need to replaced because they weren't addressed for decades. Why? Voters LOVED CHEAP water and sewer. Didn't matter that the can was being kicked. Out of sight, out of mind.

It costs more than one million dollars a mile to replace a water or sewer main. And we have more than 2,000 miles to take care of. That requires planning for the future with proper funding. At the same time, we are all conserving through low-flow toilets, showers, irrigation systems, dishwashers etc. That equals lower revenue and we do need revenue to proper maintain your systems.

A sense of proportion is also needed here. Your water - at the new rate - cost .4 cents a gallon to use. Not 4. .4. It costs you .5 cents (half a cent) a gallon for us to take your usage, your sewage, treat it and return it to the environment.

CFPUA also pays for the fact that 40% of a bill - if you live in the city - is thought of as a CFPUA bill when it isn't our bill at all. It's the city's for stormwater and trash pickup. 40%. We were left with that proposition to save the city money when we were created.

I'll stop here and invite you - or anyone else - to call me at 332-6704 to discuss this further.