There is a common political statement that says, “Elections have consequences.” While this is true, often it is spoken as a negative. Last month, you all voted and are now seeing the consequences of that election: lower rates. Hopefully, these new rates are something you see as a positive. This course has been a long and, at times, painful process that we hope puts any previous acrimony in the rearview mirror, with a board now focused clearly on the future.
We thank everyone who voted. The board consciously did not promote a voting recommendation, choosing instead to simply provide the facts and allow everyone to come to their own conclusions. Your voice was heard loudly and clearly. So, what is next? As we wrote on the Facebook page:
“On May 7th, voters chose to change district repair and upgrade spending from revenue bonds to property tax bonds. Five days later, the board, by a vote of 5-0, chose to reduce rates beginning with the first bill after June 1st.
‘By how much will rates be reduced?’
The district voted to lower the charges by half of the recommended rates from the rate study. As you may remember, a few months ago, a rate specialist provided the district with a free rate study to analyze the rates. This study took the current expenses, as well as the costs for planned repairs and upgrades, and compared them to the revenues from rates to find a fair price for the community. At the conclusion of his study, he provided the district a recommended rate. The district chose to lower rates by half of that recommended amount so that ratepayers could have some relief this summer.
‘Why not 100 percent of the recommendation?’
That recommendation was based on changing the way the district pays for upgrades to property tax bonds, which was voted on and approved. However, the bonds need to be packaged and sold before the district can receive the money. Until the bonds are sold, there will be no additional money despite the affirmative vote.
The district could have elected to wait until the bonds have been sold but instead sought to apply some near immediate rate relief for the majority of ratepayers (up to ¾” and 1” meters). They also accepted the new water rates that were discussed through the rate study. Essentially, the district lowered what they charge for water. Finally, the district also changed the wastewater per 1,000-gallon charge from a flat $4, to a tiered rate that mirrors the water rate.
Combining the initial rate reduction with the lowering of the cost of water means that most ratepayers, on the affected meters, should see a reduction in rates of approximately 25 percent. Of course, as we noted in the newsletter, there are a number of variables that affect that number. In general, an approximate 25 percent reduction should apply to most customers.”
Communication will always be key to effective government. We will continue to strive to provide you with the facts so you can make a fair judgment on the issues. We do that through several channels.
The official district Facebook page (https://www.facebook.com/POCIDofficial/) — On the site, we deliver timely information about upcoming issues, explain complex portions of the operational side of the district, and work to connect you to what is happening. Dolphin Talk — Most months, we will supply the Dolphin Talk with an article like you are reading now, updating ratepayers who may not have access to Facebook.Newsletter — Quarterly, we will supply the region with a newsletter that summarizes the current news of the district. Delivered directly to your email inbox, the newsletter focuses on the main issues and also provides contact points for reference. The district decided to print physical copies and make them available at key areas throughout the town for those without email.
If you have a Facebook account, please “like” us and join the conversation. If you didn’t receive the newsletter, please email me (chill@imaginationmonkey.com) and I will make sure you will be included on the next one. Our goal is to reach you and inform you. If you have any suggestions or questions, please let us know.
Your Port O’Connor Improvement District
