Radios Not Included
The Oconee County Board of Commissioners tonight decided to go forward with the building of a new radio communication system in partnership with Greene County that will be one step toward upgrading Oconee County’s emergency and other communication services.
The Board agreed to lease a new tower that will be built in the south of the county, to an intergovernmental agreement with Greene County over operation of the service and to a contract with Motorola for the equipment.
The Motorola contract also includes a financing arrangement whereby the county will borrow $3.2 million–its share of the $8.4 million project–to begin work on the communication system immediately.
The county plans to pay off that $3.2 million with Special Purpose Local Option Sales Tax receipts that come in over the next six years or with a hoped-for $2.9 million grant from the federal government.
If the SPLOST authorized by voters last March does not reach its projected goal of $40.4 million and the county does not get its federal grant, unfunded parts of the loan would have to be paid off from the general fund of the county, Finance Director Jeff Benko said.
The county has received $2,053,759 over the first five months of the current SPLOST collections, or an average of $410,751 per month, based on figures Benko released to me today.
If that figure is projected out for the full 72 months of collections, the county would receive $29,574,133 rather than $40.4 million projected.
Benko said tonight he believes that revenues will grow and the county will meet its projected $40.4 million target.
County Attorney Daniel Haygood said another option the county could exercise is switching funds from other allocations within SPLOST approved by the voters–if the argument could be made that the funding no longer was needed.
The cost of radios for the new system is not included in the $3.2 million expenditure approved by the Board tonight.
No concrete plans for purchase of the needed radios has been put forward, though one option discussed at the April 20 meeting of the Board is paying for the radios with SPLOST funds if the federal grant is approved and used to pay off the loan from Motorola.
Capt. Jimmy Williams from the Oconee County Sheriff’s Department said the Oconee Areawide Radio System (OARS), as the system is called, is necessary because the current radio system the county emergency services rely on is outdated.
Federal requirements that the current signal be split would mean the county would have to spend money to upgrade that system if it did not decide to build OARS, Williams said.
The $3.2 million loan is interest free for the first year, and the interest rate from there on will be 3.6 percent.
The tower that will be shared with Greene County will be on property owned by John Arthur Hale on Colham Ferry road in the south of the county.
Commissioner Jim Luke voted against the lease agreement tonight but not the other parts of the project because he said he doesn’t think the county should have a lighted tower in the southern part of the county. He did not offer an alternative.
“I simply can't support a 300-foot high strobe light in the south end of the county,” Luke said.
Tuesday, May 04, 2010
Friday, April 30, 2010
Four Candidates File on Last Day for Oconee County Elections
Democrat for 113th Too
Four candidates qualified for the July 20 Oconee County ballot–one as a Democrat–before the filing deadline at noon today, giving incumbent Board of Education member Mack Guest competition in the Republican primary and, should he win that race, again in November.
Incumbent Margaret Hale qualified for Post 3 on the Board of Commissioners, and Randell Keith Bradberry qualified for Post 2, meaning that the July 20 Republican primary ballot will have competition for both of the Board of Commissioners slots.
Mark Thomas qualified to run as a Republican for Post 2 of the BOE against Guest, while Carter Scott Strickland qualified to run as a Democrat for that post.
No one qualified to run against Kim Argo in the Republic primary for Post 3 on the Board of Education, and no Democrat filed for that office. The deadline for candidates to file as an independent is July 2.
Suzy Compere of Bostwick filed today to run as a Democrat in the 113th district of the Georgia House of Representatives, according to the Georgia Secretary of State web site. Rep. Bob Smith is stepping down from that position.
Republicans who previously qualified are Hank Huckaby, Tommy Malcolm and Kirk Shook. Huckaby abd Malcolm are from Oconee County.
No one has filed to run against Bill Cowsert, the incumbent Republican in the Senate 46th District. Cowsert is a Republican.
Tammy Gilland qualified to run for Post 3 on the Board of Commissioners earlier in the week, and incumbent Commissioner John Daniell qualified for Post 2. Guest and Argo also qualified earlier in the week.
The Oconee County Republican Executive Committee also filed six non-binding questions for the July 20 ballot, as is allowed by law.
The questions deal with election of local school board superintendents rather than appointment, placing sales tax on groceries, raising the tobacco tax, a constitutional amendment on health care, appointment of the state School Superintendent, Commissioner of Insurance, Commissioner of Agriculture and Commissioner of Labor, and use of sterile grass carp in Clark’s Hill Lake.
On her declaration of candidacy, Hale listed herself as an administrative specialist and her address as 1901 Salem road. Bradberry listed his occupation as banking and his address and a Bogart postal box.
Thomas listed his occupation as contractor and a Watkinsville postal box address. Strictland listed ihs occupation as a CEO of Our Varsity/Gridiron Sports and his address as 1271 Simonton drive in Watkinsville.
Four candidates qualified for the July 20 Oconee County ballot–one as a Democrat–before the filing deadline at noon today, giving incumbent Board of Education member Mack Guest competition in the Republican primary and, should he win that race, again in November.
Incumbent Margaret Hale qualified for Post 3 on the Board of Commissioners, and Randell Keith Bradberry qualified for Post 2, meaning that the July 20 Republican primary ballot will have competition for both of the Board of Commissioners slots.
Mark Thomas qualified to run as a Republican for Post 2 of the BOE against Guest, while Carter Scott Strickland qualified to run as a Democrat for that post.
No one qualified to run against Kim Argo in the Republic primary for Post 3 on the Board of Education, and no Democrat filed for that office. The deadline for candidates to file as an independent is July 2.
Suzy Compere of Bostwick filed today to run as a Democrat in the 113th district of the Georgia House of Representatives, according to the Georgia Secretary of State web site. Rep. Bob Smith is stepping down from that position.
Republicans who previously qualified are Hank Huckaby, Tommy Malcolm and Kirk Shook. Huckaby abd Malcolm are from Oconee County.
No one has filed to run against Bill Cowsert, the incumbent Republican in the Senate 46th District. Cowsert is a Republican.
Tammy Gilland qualified to run for Post 3 on the Board of Commissioners earlier in the week, and incumbent Commissioner John Daniell qualified for Post 2. Guest and Argo also qualified earlier in the week.
The Oconee County Republican Executive Committee also filed six non-binding questions for the July 20 ballot, as is allowed by law.
The questions deal with election of local school board superintendents rather than appointment, placing sales tax on groceries, raising the tobacco tax, a constitutional amendment on health care, appointment of the state School Superintendent, Commissioner of Insurance, Commissioner of Agriculture and Commissioner of Labor, and use of sterile grass carp in Clark’s Hill Lake.
On her declaration of candidacy, Hale listed herself as an administrative specialist and her address as 1901 Salem road. Bradberry listed his occupation as banking and his address and a Bogart postal box.
Thomas listed his occupation as contractor and a Watkinsville postal box address. Strictland listed ihs occupation as a CEO of Our Varsity/Gridiron Sports and his address as 1271 Simonton drive in Watkinsville.
Thursday, April 29, 2010
Gilland’s Fundraising Already Tops 3 Oconee County BOC Candidates in 2008
Hale Still Not Filed
Tammy Gilland, who qualified for the July 20 Republic primary as a candidate for Post 3 on the Oconee County Board of Commissioners yesterday, had raised more money for her campaign by the end of March than three of the commission candidates raised in all of the 2008 election year.
Gilland’s $4,685 raised in the first quarter of the year was just $651 less than incumbent Post 3 Commissioner Margaret Hale raised in the 2008 election year.
Hale has not yet filed for reelection, though she announced back in February that she intends to do so. The deadline for filing is noon tomorrow.
Hale listed $500 in contributions for the first three months of the year in her April 1 filing.
No candidates filed today for the Oconee County offices open for election this year–two Board of Commissioner posts and two Board of Education posts.
BOE incumbents Kim Argo and Mack Guest filed earlier this week, as did Commissioner John Daniell, who holds Post 2.
The Dec. 31, 2008, campaign finance statements filed by the eight candidates–all Republicans--who ran for the Board of Commissioners that year showed that they raised, on average, $8,863, and spent, on average, $8,958.
Daniell raised and spent the least, $3,211 and $3,167 respectively. Daniell defeated incumbent Don Norris, who raised $9,613 and spent $11,285.
Mike Maxey, who ran unsuccessfully against Chuck Horton, raised and spent the most, $21,030 and $21,030 respectively.
Incumbent Jim Luke came next, raising $15,953 and spending $15,900. He defeated Johnny Pritchett, who raised only $3,770 and spent $3,873.
Ester Porter, who ran against Hale in 2008, raised $3,606 and spent the same amount.
Board of Commissioners Chairman Melvin Davis raised $31,593 in his successful bid for reelection. Challenger Sarah Bell raised only $9,723 but lost to Davis by only 100 votes.
+++
Beyond the Trestle posted an interview with Gilland today in which she said stated her position on several issues. She said she favors of an economic development partnership with Clarke County.
Tammy Gilland, who qualified for the July 20 Republic primary as a candidate for Post 3 on the Oconee County Board of Commissioners yesterday, had raised more money for her campaign by the end of March than three of the commission candidates raised in all of the 2008 election year.
Gilland’s $4,685 raised in the first quarter of the year was just $651 less than incumbent Post 3 Commissioner Margaret Hale raised in the 2008 election year.
Hale has not yet filed for reelection, though she announced back in February that she intends to do so. The deadline for filing is noon tomorrow.
Hale listed $500 in contributions for the first three months of the year in her April 1 filing.
No candidates filed today for the Oconee County offices open for election this year–two Board of Commissioner posts and two Board of Education posts.
BOE incumbents Kim Argo and Mack Guest filed earlier this week, as did Commissioner John Daniell, who holds Post 2.
The Dec. 31, 2008, campaign finance statements filed by the eight candidates–all Republicans--who ran for the Board of Commissioners that year showed that they raised, on average, $8,863, and spent, on average, $8,958.
Daniell raised and spent the least, $3,211 and $3,167 respectively. Daniell defeated incumbent Don Norris, who raised $9,613 and spent $11,285.
Mike Maxey, who ran unsuccessfully against Chuck Horton, raised and spent the most, $21,030 and $21,030 respectively.
Incumbent Jim Luke came next, raising $15,953 and spending $15,900. He defeated Johnny Pritchett, who raised only $3,770 and spent $3,873.
Ester Porter, who ran against Hale in 2008, raised $3,606 and spent the same amount.
Board of Commissioners Chairman Melvin Davis raised $31,593 in his successful bid for reelection. Challenger Sarah Bell raised only $9,723 but lost to Davis by only 100 votes.
+++
Beyond the Trestle posted an interview with Gilland today in which she said stated her position on several issues. She said she favors of an economic development partnership with Clarke County.
Wednesday, April 28, 2010
Gilland Qualifies for July Ballot for Oconee County Commissioner
Only Non-Incumbent to File
Tammy Gilland became the first non-incumbent to qualify for the July 20 Oconee County primary today when she turned in her paperwork to run for Post 3 on the Oconee County Board of Commissioners.
Post 2 Commissioner John Daniell qualified on Monday, as did Kim Argo, who holds Post 3 on the Oconee County Board of Education. Mack Guest, Post 2 member of the Board of Education, qualified yesterday.
Margaret Hale, who is the current Post 3 commissioner, has until noon on Friday to qualify. She announced at the Feb. 16 town hall meeting of the Board of Commissioners that she intended to seek reelection.
Only two seats on the Board of Commissioners and two seats on the Board of Education are up for election this year. Each board has five members.
Gilland, Daniell, Argo and Guest have filed to run in the Republican primary. Hale has run as a Republican in the past.
Gilland indicated her intention to run for the Board of Commissioners on April 1 when she filed a campaign contribution disclosure report indicating that she has raised $4,685 toward her campaign. She noted on that report that she planned to seek the Post 3 commissioner spot.
Gilland had been accepting campaign contributions and was required to file the campaign contribution report.
A senior director in the Development Office at the University of Georgia, Gilland lives at 1010 Hardwood court off Elder road near North High Shoals.
To qualify, Gilland, as well as Daniell, had to pay the $594 filing fee, which is 3 percent of the $19,814 base salary for a commissioner. Daniell, the lowest paid commissioner, actually makes $20,998 because of cost of living adjustments to that base.
Argo and Guest paid only $54 as a filing fee, which is 3 percent of the $1,800 paid to members of the Board of Education.
State law sets the filing fees based on the base salaries.
Tammy Gilland became the first non-incumbent to qualify for the July 20 Oconee County primary today when she turned in her paperwork to run for Post 3 on the Oconee County Board of Commissioners.
Post 2 Commissioner John Daniell qualified on Monday, as did Kim Argo, who holds Post 3 on the Oconee County Board of Education. Mack Guest, Post 2 member of the Board of Education, qualified yesterday.
Margaret Hale, who is the current Post 3 commissioner, has until noon on Friday to qualify. She announced at the Feb. 16 town hall meeting of the Board of Commissioners that she intended to seek reelection.
Only two seats on the Board of Commissioners and two seats on the Board of Education are up for election this year. Each board has five members.
Gilland, Daniell, Argo and Guest have filed to run in the Republican primary. Hale has run as a Republican in the past.
Gilland indicated her intention to run for the Board of Commissioners on April 1 when she filed a campaign contribution disclosure report indicating that she has raised $4,685 toward her campaign. She noted on that report that she planned to seek the Post 3 commissioner spot.
Gilland had been accepting campaign contributions and was required to file the campaign contribution report.
A senior director in the Development Office at the University of Georgia, Gilland lives at 1010 Hardwood court off Elder road near North High Shoals.
To qualify, Gilland, as well as Daniell, had to pay the $594 filing fee, which is 3 percent of the $19,814 base salary for a commissioner. Daniell, the lowest paid commissioner, actually makes $20,998 because of cost of living adjustments to that base.
Argo and Guest paid only $54 as a filing fee, which is 3 percent of the $1,800 paid to members of the Board of Education.
State law sets the filing fees based on the base salaries.
Tuesday, April 27, 2010
Guest Becomes Second Incumbent to Qualify for Oconee County School Board
Malcolm joins 113th Race
Incumbent Oconee County Board of Education member Mack Guest qualified for the July 20 Republican primary ballot today when he paid the $54 filing fee to seek reelection to Post 2.
Tommy Malcolm qualified for the Republican primary that will select the party’s nominee for the State Representative in the 113th District, in which Oconee County is located.
Malcolm, a teacher who lists a Watkinsville postal box as his address, joins Hank Huckaby and Kirk Shook, who qualified yesterday for the Republican primary.
Incumbent District 113 Representative Bob Smith is retiring.
Kim Argo, who holds Post 3 on the Board of Education, qualified yesterday, as did John Daniell, seeking reelection to the Board of Commissioners. Both are Republicans.
Margaret Hale, who has announced she plans to seek reelection to the Board of Commissioners, has not yet filed. She also is a Republican. The deadline for filing is Friday.
Guest, who lives at 1070 Lake Wellbrook drive in Lake Wellbrook subdivision off Daniells Bridge road, currently is vice chair of the BOE.
Argo, Daniell, Guest and Hale were elected to two-year terms in 2008 as both boards switched to staggered terms for members. The terms they are seeking now are for four years.
Incumbent Oconee County Board of Education member Mack Guest qualified for the July 20 Republican primary ballot today when he paid the $54 filing fee to seek reelection to Post 2.
Tommy Malcolm qualified for the Republican primary that will select the party’s nominee for the State Representative in the 113th District, in which Oconee County is located.
Malcolm, a teacher who lists a Watkinsville postal box as his address, joins Hank Huckaby and Kirk Shook, who qualified yesterday for the Republican primary.
Incumbent District 113 Representative Bob Smith is retiring.
Kim Argo, who holds Post 3 on the Board of Education, qualified yesterday, as did John Daniell, seeking reelection to the Board of Commissioners. Both are Republicans.
Margaret Hale, who has announced she plans to seek reelection to the Board of Commissioners, has not yet filed. She also is a Republican. The deadline for filing is Friday.
Guest, who lives at 1070 Lake Wellbrook drive in Lake Wellbrook subdivision off Daniells Bridge road, currently is vice chair of the BOE.
Argo, Daniell, Guest and Hale were elected to two-year terms in 2008 as both boards switched to staggered terms for members. The terms they are seeking now are for four years.
Monday, April 26, 2010
Argo and Daniell Qualify for July 20 Oconee County Primary Ballots
Huckaby, Shook and Cowsert Also Qualify
Incumbent Board of Education member Kim Argo and incumbent County Commissioner John Daniell qualified for the July 20 primary ballot today when they submitted their filing fees at the Oconee County Board of Elections and Registration office near the courthouse.
Elections and Registration Chair Pat Hayes said Argo and Daniell were the only two Oconee County candidates to file their paperwork and pay their fees before the 5 p.m. closing for the first of five days of registration. Both filed as Republicans.
According to the online real-time filing database of the Secretary of State, Hank Huckaby and Kirk Shook filed as Republicans for the State Representative 113 District now held by Republican Bob Smith, who is retiring.
Incumbent Bill Cowsert filed for the State Senate 46th District. Cowsert is a Republican.
Oconee County falls entirely within the 113 House and 46 Senate districts.
Argo currently is in her first term as Post 3 Board of Education member. Daniell is in his first term as Post 2 commissioner.
Board of Education Post 2 also is up for election. Mack Guest currently holds that position.
The term of Post 3 Commissioner Margaret Hale also is ending, and she has indicated she plans to run for reelection.
Argo paid $54 as a filing fee and Daniell paid $594.42. The filing fee for Huckaby, Shook and Cowsert was $400. Those fees are set by state law.
Argo lives at 1230 Bent Creek road near Hodges Mill road in the northern part of the county and Daniell lives at 1922 Elder road near North High Shoals. Argo is a teacher and Daniell is an executive with Boswell Oil.
Huckaby, 1041 Knox Ridge in Spartan Lane subdivision off US 441 in Oconee County, lists himself as retired. He formerly was the vice president for finance and administration at the University of Georgia.
Shook, who lives in Crawford, lists his occupation as a teacher.
Cowsert is an attorney from Athens.
Incumbent Board of Education member Kim Argo and incumbent County Commissioner John Daniell qualified for the July 20 primary ballot today when they submitted their filing fees at the Oconee County Board of Elections and Registration office near the courthouse.
Elections and Registration Chair Pat Hayes said Argo and Daniell were the only two Oconee County candidates to file their paperwork and pay their fees before the 5 p.m. closing for the first of five days of registration. Both filed as Republicans.
According to the online real-time filing database of the Secretary of State, Hank Huckaby and Kirk Shook filed as Republicans for the State Representative 113 District now held by Republican Bob Smith, who is retiring.
Incumbent Bill Cowsert filed for the State Senate 46th District. Cowsert is a Republican.
Oconee County falls entirely within the 113 House and 46 Senate districts.
Argo currently is in her first term as Post 3 Board of Education member. Daniell is in his first term as Post 2 commissioner.
Board of Education Post 2 also is up for election. Mack Guest currently holds that position.
The term of Post 3 Commissioner Margaret Hale also is ending, and she has indicated she plans to run for reelection.
Argo paid $54 as a filing fee and Daniell paid $594.42. The filing fee for Huckaby, Shook and Cowsert was $400. Those fees are set by state law.
Argo lives at 1230 Bent Creek road near Hodges Mill road in the northern part of the county and Daniell lives at 1922 Elder road near North High Shoals. Argo is a teacher and Daniell is an executive with Boswell Oil.
Huckaby, 1041 Knox Ridge in Spartan Lane subdivision off US 441 in Oconee County, lists himself as retired. He formerly was the vice president for finance and administration at the University of Georgia.
Shook, who lives in Crawford, lists his occupation as a teacher.
Cowsert is an attorney from Athens.
Friday, April 23, 2010
Oconee County Utility Proposed Budget Includes Nearly $1 Million in Hard Labor Creek Debt Payments
Standard & Poor’s Knew
The Oconee County Utility Department is asking the Board of Commissioners to approve a balanced $6.4 million budget for the fiscal year beginning July 1 that includes nearly $3 million in debt service.
Of that $3 million in debt payments, $924,000 will pay interest on the $19.5 million bond the county sold in 2008 as part of its share in the expenses of Hard Labor Creek Reservoir, which Oconee and Walton counties are partnering to build in southern Walton County. That bond will mature in 2023.
The $924,000 is up from the $764,000 the county paid on interest on the bond in fiscal year 2010, the first year that Hard Labor Creek financing appeared in the Oconee County Utility Department budget.
The county did not make any payment against the principal of the Hard Labor Creek bond in the last fiscal year, and none is included in the budget under review.
The proposed fiscal year 2011 budget also includes $1,188,060 in payments on principal on a bond originally sold in 1998, on another bond sold in 2004 and on bonds sold for construction of the Bear Creek Reservoir in Jackson County.
The proposed Oconee County Utility Department budget also contains interest payments on those bonds of $880,099.
The 1998 bond was refinanced by the county in October of 2009 to reduce the interest rate. The result was that the county will pay less both in interest and against the principal in the upcoming fiscal year than was originally planned.
Oconee is one of four counties involved in the Bear Creek Reservoir. Barrow, Clarke and Jackson are the other three.
The debt payments are by far the biggest expenses for the Utility Department in the proposed budget.
The Department expects to pay $932,000 to purchase the water it will sell, most of which will come from Bear Creek, and $800,000 in salaries for its employees.
To make the budget balance, the Utility Department has proposed increases in both water and sewage rates starting on July 1.
The minimum monthly amount a water customer would pay would go from $16.50 to $19. Base sewer rates would increase from either $15.48 or $12.48, depending on area, to $18.
The county also increased water and sewerage rates last year.
The BOC asked Utility Department Director Chris Thomas at the budget hearing on April 14 to try to find a way to reduce the base rate increase, but he said it was difficult given the kinds of data he has on customer water use to know how to do that.
Through the proposed rate increases and because of hoped-for increases in water sales now that the drought has passed, Thomas is projecting that he will have $5.1 million in water revenue, up from a little more than $4 million proposed in the 2010 budget.
The 2011 budget projects $800,000 in sewage revenue, up from $625,000 in this year’s budget.
On April 6 the BOC reduced the sewer capacity fees paid by commercial users to gain access to the county’s sewage treatment system, and Thomas is projecting a decline in revenue of $150,000 in that category.
When the county decided to join with Walton County in the $170 million Hard Labor Creek project in 2007, proponents said it would be paid for by new water sales, not by sale of water to existing customers.
Of the existing Board, Chairman Melvin Davis and Commissioner Jim Luke were advocates of the project, along with then-Commissioner Don Norris. Commissioners Margaret Hale and Chuck Horton voted against it.
A Standard & Poor’s rating statement on the Utility Department of Sept. 30, 2009, said that, “According to county management, given the $30 million of capital needs associated with the Hard Labor Creek project, the board (of commissioners) has recognized the need to raise rates to provide adequate coverage of operating and debt service costs.”
Oconee County’s costs for the full project are projected to be $49 million, but the $19.5 million in bonds had already been sold when that report was written.
Water and sewer rates “are currently in-line with the regional average,” the Standard & Poor’s report noted, and the increases “might push the rates to slightly above the average.”
The report did not see this as a problem because “county income levels are, in our opinion, very strong.”
If the $924,000 in interest payments for Hard Labor Creek were removed from the proposed 2011 Utility Department budget, it would be $5,462,000, or $222,368 more than the budget in fiscal year 2009–the last year in which Hard Labor Creek was not part of the expenses.
Consistent with the Standard & Poor’s analysis, the rate increases needed for fiscal year 2011 would have been much smaller minus the county’s decision to join Walton County on the Hard Labor Creek project.
The Oconee County Utility Department is asking the Board of Commissioners to approve a balanced $6.4 million budget for the fiscal year beginning July 1 that includes nearly $3 million in debt service.
Of that $3 million in debt payments, $924,000 will pay interest on the $19.5 million bond the county sold in 2008 as part of its share in the expenses of Hard Labor Creek Reservoir, which Oconee and Walton counties are partnering to build in southern Walton County. That bond will mature in 2023.
The $924,000 is up from the $764,000 the county paid on interest on the bond in fiscal year 2010, the first year that Hard Labor Creek financing appeared in the Oconee County Utility Department budget.
The county did not make any payment against the principal of the Hard Labor Creek bond in the last fiscal year, and none is included in the budget under review.
The proposed fiscal year 2011 budget also includes $1,188,060 in payments on principal on a bond originally sold in 1998, on another bond sold in 2004 and on bonds sold for construction of the Bear Creek Reservoir in Jackson County.
The proposed Oconee County Utility Department budget also contains interest payments on those bonds of $880,099.
Oconee is one of four counties involved in the Bear Creek Reservoir. Barrow, Clarke and Jackson are the other three.
The debt payments are by far the biggest expenses for the Utility Department in the proposed budget.
The Department expects to pay $932,000 to purchase the water it will sell, most of which will come from Bear Creek, and $800,000 in salaries for its employees.
To make the budget balance, the Utility Department has proposed increases in both water and sewage rates starting on July 1.
The minimum monthly amount a water customer would pay would go from $16.50 to $19. Base sewer rates would increase from either $15.48 or $12.48, depending on area, to $18.
The county also increased water and sewerage rates last year.
The BOC asked Utility Department Director Chris Thomas at the budget hearing on April 14 to try to find a way to reduce the base rate increase, but he said it was difficult given the kinds of data he has on customer water use to know how to do that.
Through the proposed rate increases and because of hoped-for increases in water sales now that the drought has passed, Thomas is projecting that he will have $5.1 million in water revenue, up from a little more than $4 million proposed in the 2010 budget.
The 2011 budget projects $800,000 in sewage revenue, up from $625,000 in this year’s budget.
On April 6 the BOC reduced the sewer capacity fees paid by commercial users to gain access to the county’s sewage treatment system, and Thomas is projecting a decline in revenue of $150,000 in that category.
When the county decided to join with Walton County in the $170 million Hard Labor Creek project in 2007, proponents said it would be paid for by new water sales, not by sale of water to existing customers.
Of the existing Board, Chairman Melvin Davis and Commissioner Jim Luke were advocates of the project, along with then-Commissioner Don Norris. Commissioners Margaret Hale and Chuck Horton voted against it.
A Standard & Poor’s rating statement on the Utility Department of Sept. 30, 2009, said that, “According to county management, given the $30 million of capital needs associated with the Hard Labor Creek project, the board (of commissioners) has recognized the need to raise rates to provide adequate coverage of operating and debt service costs.”
Oconee County’s costs for the full project are projected to be $49 million, but the $19.5 million in bonds had already been sold when that report was written.
Water and sewer rates “are currently in-line with the regional average,” the Standard & Poor’s report noted, and the increases “might push the rates to slightly above the average.”
The report did not see this as a problem because “county income levels are, in our opinion, very strong.”
If the $924,000 in interest payments for Hard Labor Creek were removed from the proposed 2011 Utility Department budget, it would be $5,462,000, or $222,368 more than the budget in fiscal year 2009–the last year in which Hard Labor Creek was not part of the expenses.
Consistent with the Standard & Poor’s analysis, the rate increases needed for fiscal year 2011 would have been much smaller minus the county’s decision to join Walton County on the Hard Labor Creek project.
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