Stop-FGUA-in-Florida

Current Board --- Chairman Lea Ann Thomas Assistant County Manager Polk County 330 West Church Street Bartow, Florida 33830 Phone: (863) 534-6031 ----- Robert Nanni Osceola Board of County Commissioners 1 Courthouse Square, Suite 4700 Kissimmee, Florida 34741 Phone: (407) 343-2388 ----- System Manager Robert E. Sheets Phone: (850) 681-3717 ----

Wednesday, November 16, 2005

Utility offers compromise on water fees, but board puts off final decision (Citrus County)

By Terry Witt

A government utility made a concession Monday in hopes of securing county approval for water line property assessments in Citrus Springs, but a regulatory board deferred a final decision until December.

The Florida Governmental Utility Authority offered to reduce the size of its proposed property assessment district to about 3,349 lots, which is more to the liking of Utilities Regulatory Director Robert Knight, but Knight made no promises.

Knight, who advises the Citrus County Water and Wastewater Authority on utility issues, asked WWA to postpone a decision until Dec. 5 about whether FGUA should be allowed to levy water line extension assessments in Citrus Springs and water line maintenance assessments in Pine Ridge and Citrus Springs. WWA agreed to the postponement.

FGUA has proposed annual water line maintenance assessments of $16.55 in Citrus Springs and $37 in Pine Ridge.

Knight said reducing the assessment district size is no guarantee FGUA will receive a favorable recommendation from him. Brian Armstrong, an FGUA attorney, said the smaller district was offered as a second alternative to give WWA and Knight a choice.

Reducing the size of the district gives FGUA a better chance of building all the water lines inside the district within five years, a standard gauge for determining whether the district was the right size, but Knight said he would have to review the numbers between now and Dec. 5 before making his determination.“Whether I will recommend it for approval is still up in the air,” Knight said.

FGUA claims a high growth rate in Citrus Springs is forcing it to look for a stable revenue source to build the millions of dollars in new water lines. Some WWA members have questioned whether the assessments are justified or necessary. Others think FGUA has made a legitimate argument.

Armstrong said the final assessment numbers are as follows:* Residents in the proposed water line assessment district could prepay a reduced assessment of $1,924 as a lump sum. The option would probably be available until May 1 of next year.* Residents in the assessment district who choose to finance the fee would be assessed $2,395. The annual charge would be $261 on their property tax bill.* Residents living outside the assessment area would pay $2,199 for any new FGUA line extension.* Those residents who had lines built to their vacant lots before FGUA bought the Citrus Springs utility would be charged $446 for a line extension under the old Topeka developer’s agreement.

Pine Ridge resident Robert Bennett, a critic of FGUA’s proposals, said FGUA’s 2006 budget is filled with unjustified expenses and numbers that don’t add up.He said the “community service initiative” in the 2006 budget — which he said is an $855,798 public relations campaign — would be unfairly borne by its customers.

He accused FGUA of using fuzzy math to mislead its customers and the regulatory board, and used a toy duck to illustrate his disgust with the utility.

The duck played a muffled recording of the one-liner made famous in AFLAC Insurance television commercials. The duck squawked — “AFLAC!”Attorney Mike Toomey, representing Pine Ridge, attacked the $37 line maintenance assessment. He said it amounted to double charging Pine Ridge residents.

Toomey said residents in Sugarmill Woods and Pine Ridge, two of FGUA’s largest systems, had paid for maintenance of the lines as part of their rates before FGUA bought the systems. Toomey said it would be illegal to charge residents of Pine Ridge a second time.

Toomey represents the Pine Ridge Property Owners Association. If WWA approves the maintenance assessment, Toomey said he would encourage the association to appeal the decision.

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