Martin battled Aqua Virginia rate increase in Richmond yesterday
Billy Martin the Blue Ridge Supervisor, battled Aqua Virginia rates in front of the State Corporation Commission on Tuesday, June 19.
Billy Martin has been a man on a mission again this year battling a rate increase for the 2,500 Aqua Virginia (AVI) customers in Botetourt County. He held two public forums on the increase in Blue Ridge as late as two weeks ago. Part of the AVI customers are in his district and others reside in the Valley District.
He spoke to the Botetourt View while in Richmond and sent a list of his talking points in front of the SCC.
The water company has a proposed 9.9 per cent increase. He said Lake Landau brought a chartered bus of Aqua customers to fight the proposed increase. The Botetourt County Board of Supervisors sent a resolution opposing the increase.
Martin said he was pleasantly surprised to hear that the $537,000 plus in storm water monies were not being sought from Botetourt customers. No storm water services are provided to Botetourt customers. But the Aqua increase still baffles the Blue Ridge Supervisor.
Here are his comments to the SCC, slightly edited:
“Good morning Your Honor and Board members,
My name is Billy Martin. I am with the Board of Supervisors in Botetourt County and I am here today representing approximately 2500 Aqua Virginia customers in Botetourt County. Your Honor, we the people of Botetourt County strongly oppose this outrageous and unfair proposed rate increase.
It looks like this is beginning to be a regular thing with Aqua.
Aqua petitioned the VSCC for a $3.2 million year rate increase two years ago.
Aqua had a similar increase four years before that.
Aqua has again petitioned the State Corporation Commission for another rate increase of 9.9% or a $1.469 million increase on its customers. They want to raise rates for the following:
Increase water revenues of $ 936,871 73.8%
Waste water revenues of 531,908 26.2% ( He was later told by SCC official that this portion would not be charged to Botetourt customers.)
Total $1,468,779 100%
• AVI ( Aqua Virginia) said rate increases were a way to recover capital and operating dollars to improve. Well. . . . . so is planning and setting aside funds from their profits for capital expenditures.
• Why doesn’t Aqua have a capital improvement account set up? Why can’t they put money from their profits into this account instead of putting the burden on the customer by way of rate increases?
• It is clear that Aqua takes all their profits for themselves and stick the expenses to their customers. This is irresponsible and outrageous.
• Botetourt County staff recently conducted a survey on water rates in the County and found that Aqua is at a minimum, 25% higher than any other water company in the County, Municipal or Private.
• After reviewing this survey, the Botetourt County Board Of Supervisors drafted and approved a resolution opposing these unreasonable rate requests from Aqua.
• Aqua is asking for an increase in water revenues of $936,871. Why? What has Aqua done in the past two years that requires another rate increase?
• They say it is because of ongoing capital needs that must be met in order to enhance service to customers. What ongoing capital needs are they talking about. There have been no ongoing capital projects in Botetourt County?
So how will this enhance customer service to the customer in Botetourt County?
• AVI also contend it is because of “continuing increases in costs and operating expenses.”What costs are increasing?
What operating expenses are increasing? What is so different from other Municipal and private water companies from Aqua? They haven’t had to raise their rates?
If Aqua’s statements are true, shouldn’t private and municipal water companies be experiencing the same problems/ It appears Aqua is just using this as an EXCUSE to gouge money out of the customers pockets AGAIN.
Again, this is just another EXCUSE to GOUGE money out of the pockets of the citizens of Botetourt County.
I ask again, “Why doesn’t Aqua have a Capital Improvement Account set up for capital needs and expenses with money they receive from profits?
This is not only outrageous but also unfair!
• Aqua says they need this increase to cover costs associated with compliance requirements for State and Federal Regulations.
What regulations or compliance requirements for State and Federal Regulations have changed or been added that require Aqua to raise their rates again? No one can tell me. NONE!
And I’ll ask this question once again; “If this is affecting Aqua like this, why isn’t it affecting the other water companies, both municipal and private, in Botetourt County.
• Aqua says they need this increase due to “deficient earned returns on rate base for the adjusted test year ended June 30, 2011”..
This is just more greed for a large utility company to get more money. In our opinion, just another EXCUSE!
How many more excuses will Aqua keep giving the VSCC to motivate, pressure or convince them to grant another rate increase?
The VSCC is the ONLY ENTITY that can protect citizens in the Commonwealth of Virginia against unfair and unreasonable rate increases. I am asking you to protect the citizens in Virginia, particularly Botetourt County, against these unfair, unreasonable AND UNJUSTIFIED rate increases. Aqua has a monopoly and they know it. What can the citizens do other than appeal to you? They have no other choice except to go without water or dig a well. AVI will simply cut their water service off.
Let’s look at Aqua’s Financial performance so far:
Revenues for the quarter ending March 31, 2012 totaled $170.2 million compared to $163.6 million SPLY or an increase of 4%.
Net Income for the quarter rose 25%, $37.9 million from $30.4 million over SPLY (Same period last year)
Earnings per diluted share rose 23% to $0.27 from $0.22 cent from SPLY. (Same period last year)
Share holders were paid dividends of 6.5% higher than SPLY. (Same period last year)
Aqua America had profits last year of $104.4 million
To date, Aqua has received rate awards in N. J., Ohio, Florida and Illinois. They have rate increases pending in Pa., Texas and Virginia.
When Aqua requested their last increase in 2010, they had retained earnings of $200 million. Two years later at this rate increase request, they have over $508 million in retained earnings. This is OVER a half a BILLION dollars. Why in the world do they need another increase??
Aqua’s reasons and justifications are not credible. If they were, then the other water utilities would be experiencing the same cost related issues.
If this rate increase is approved, it will be nothing less than regulatory theft.
We the people of Botetourt County oppose this rate increase because there is no justification for this.
Your Honor, the Mission Statement for the SCC say, “The SCC will strive to apply law and regulation to balance the interests of citizens, businesses and customers in regulating Virginia’s business and economic concerns and work continually to improve the regulatory and Administrative processes”
Your honor and Board members, “We the people of Botetourt County” request that the Commissioners of the VSCC honor your Mission Statement and deny this unreasonable and unfair request for rate increases. ”
Thank you.
Billy Martin
He then gave the Baliff the petitions with 500 signatures and a copy of the Resolution by the Board of Supervisors.
Time will tell as to how the SCC will rule on the rate increase.
June 20, 2012 - 9:03 AM
Way to go Billy. You are doing a great job, keep up the good work.
It is sad that there are not more Supervisors on the Board who care about
the citizens in our County. I understand that not only did you oppose the highest tax increase in the County’s history but it was the highest tax increase for any county in the entire Country. It is shameful at the actions of the rest of the board and especially those who claim to be conservetive who care about the citizens of Botetourt and worse yet Republicans.
Well it was predicted that the changes in the board result in tax increases and it has come to pass.
Billy, I am proud of how you represent the Blue Ridge District. It is unfortunate that with nearly half of the Aqua VA customers in the Valley District, that we had no representation this time around as our Supervisor obviously has more important things to do than to represent the needs of his District! I wonder how relevant the Botetourt County Republican Committee is anymore when they support 3 other so called Supervisors who voted for the largest tax increase in the Country in the middle of the worst economic times in nearly a hundred years. It is ironic that our top 3 Officials in the State Government ran on an anti- tax pledge, Bob Goodlatte, Ralph Smith and Lacy Putney all support lower taxes, yet our own Republican Committee continues to stand by these Supervisors, one of which was run out of the Committee two years ago for voting for and giving money to Democrats. It looks like he has succeeded in turning Botetourt’s Republican Committee into another arm of the Democratic Committee and is now using their “playbook”. It will be interesting to see how many times Austin’s “pocket votes” (Jack and Mac) vote in opposition to Botetourt’s “best politician” over the next 2-4 years! Can’t wait to see the faces of those who stood behind Scothorn when they get their new water bill and county taxes in the next few months.
Well didn’t takethe 3rd “stooge” long to chime in on this issue. I knew with Martin involved and the 2nd “stooge” Gimbert commenting old Moe (that’s you Donny) wouldn’t be far behind. Now as far as I remember in previous articles about Aqua Va. either on here or in the Fincastle Herald I never saw your name mentioned. Billy Martin was always at the forefront of this issue. But Now that you are no longer the Valley representitive it’s suddenly an issue when Mac isn’t involved. I would have figured by now with the interest rates you would have moved your bitter rear out of Botetourt.The rate increase is something that is inevitable and you state the “largest” in the country. Really!!! Go up the road about 35 miles to Buena Vista and look at their increase this year and the amounts it will increase in each of the next few years. I applaud Billy for trying to save his constituents from this increase but he doesn’t need your whining from your loss over 8 months ago. Your like a kid whose toy got taken away. WAAAAAAAAA
Mike: It is so good to hear your vitriolic comments toward me, especially when they are, once again borne out of ignorance. For your information, I was integrally involved in opposing the Aqua VA proposed rate increase two years ago and joined Billy Martin in holding 3 Community Meetings – 2 at Rainbow Forest Baptist Church and one at the Church of the Holy Spirit. I also created the posters and fliers that we distributed and helped collect hundreds of signatures from those opposed to such an unreasonable increase. When asked to participate in the meetings this year, the current Valley District Supervisor declined to participate unless the meeting was held in Valley District. Again, for your information, I was also at the forefront in addressing the issues at Exit 150. When I first got involved, VDOT was working on a proposed $450 Million fix for this exit that involved re-routing Route 11 and building “flyovers” from Exit 150-A that would not have been built for at least 15-20 years, if ever. I was an integral part of a solution of revising the fix down to a fraction of that cost by including relocating the truck stop,and saving taxpayers (like you)over $400 Million! Instead of taking constant potshots at me, you should be asking the current Board what happened to the $4.65 Million supposed surplus from last year’s budget and how that turned into a $4 Million deficit, nearly a $9 Million swing in less than a year. If you can look at this situation and make an ignorant statement like “tax increases are inevitable”, it just shows that the Board is counting on gullible people like you to justify such an increase so that they can continue to benefit Botetourt County’s privileged few – County employees and teachers. Apparently you must be one of those based on your comments. I hope you and others take great pleasure when you open your tax bill this Fall. By the way, Genius, Buena Vista is a Town, not a County!
Did I hit a nerve Don. I love when you use those big words to make yourself soiund smarter than what you are. By the way I never mentioned anything about Exit 150 so are you trying again to justify something you think you accomplished or toot your won horn? Also moron Buena Vista is a City which more than likely will have to revert to Town status in the future with their finances the way they are. So who is the Genius now?? So now you make a comment about the County employees and teachers being the “privileged few” you again show your bias towards supporting these folks. I have no problem paying the extra it will take to keep these folks employeed and the services. PLEASE tell us when you are ready to move and I’m sure there will be an outpouring of support to help you unlike what you had to be re-elected.
Supervisor Billy Martin is to be greatly commended for an excellently researched presentation before the SCC. The very least the County Board of Supervisors could do to support the matter is its Resolution provided by Mr. Martin to the SCC. Kudos to all concerned here. The bigger issue brought into the above comments is the overall apparent indifference/apathy of our Botetourt County citizenry in these matters which shoulb be of interest to all of us (County taxes, utility rates, an ever-expanding appetite of Government/government regulated entities such as AquaVA into our hard-earned earnings). I know Messrs. Martin, Assaid, and Gimbert. I hope they are not “voices crying in the wilderness.” I do not know Mike, but he seems to represent the many who prefer to “wander in the wilderness; fat, dumb, and happy.” As a retired 23-year U.S. Army Corps of Engineers officer, during my career I was responsible for millions of public dollars and hundreds of government servants (military and civilian alike), and I appreciated the kind of individual scrutiny provided by the likes of Messrs. Martin, Gimbert, and Assaid. I was a better public servant because of their likes. Therefore, I say to each of them: “Keep your flashlights shining on the public sector and the public servants charged with looking out for our interests. Thank you from the bottom of my heart.
Mr. Martin is to be commended for an excellently researched and powerful presentation before the SCC. The County Board of Supervisors did the right thing in supporting Mr. Martin’s leadership in this matter with its Resolution opposing the AquaVA proposed rate increase.
However, the above comments raise the important broader issue of the growth of the public sector and those like Messrs. Martin, Gimbert, and Assaid who are diligent citizens attempting to hold a flashlight to Government growth. I admire their efforts. The comments of “Mike NOLASTNAME” are shameful in their attempts to substitute personal attacks for substantive dialogue. It appears that Mike NOLASTNAME would prefer to not be bothered with facts and remain “fat, dumb, and happy.”
I say “hoorah” for private citizens who have the civic interest to hold our public officials charged with the stewardship of all of our hard-earned dollars to the highest of standards of fiscal responsibility and restraint. During my 23 years of public service with the U.S. Army Corps of Engineers I oversaw millions of public dollars and hundreds of public employees (military and civilians). I can honestly say I was a better public servant when I knew that men like Messrs. Martin, Gimbert, and Assaid were monitoring my conduct. Thank you all. Keep it up!
Mike:
Consider these my last comments to you as arguing with you is like talking with a fence post. I violated one of my cardinal rules even responding to your lunacy to begin with – to never even acknowledge, much less give any credence to comments made by someone “anonymous”. Whenever you get enough courage or conviction to use your whole name, let me know. Until then, I would suggest that you continue your conversation and comments in the mirror where you will find someone with the same level of intelligence and understanding.