Thursday, October 14, 2010

Council calls new meeting regarding rate increase

Council feels like an explanation from its attorneys regarding the wastewater increase is in order, and they plan to meet Tuesday night to get one. Council members anticipate taking another vote at the meeting.

No one in Coatesville likes the increase, and almost no one thinks it's fair. But after talking to a number of attorneys, it does seem to be legal - meaning that if the case were argued all the way up to the Pennsylvania Utility Commission, Pennsylvania American seems likely to be awarded at least $6 million in a rate increase.

And if the case is decided by the commission rather than settled, attorneys say, benefits negotiated by attorneys - most notably a phased-in increase and a pretty significant difference in savings for low-income customers - wouldn't be available.

At least a few council members said they are still upset with the attorneys for failing to explain the legal situation better, which might have affected their votes.

What do you think? A legal fight to the end might have a worse result, and cost hundreds of thousands of dollars or even over $1 million. It's possible that a protest vote, without further opposition, would still give Coatesville the benefits of the negotiation - but it's also possible that especially as the largest consumer, Coatesville's "no" vote would throw a wrench in the commission's acceptance of the settlement.

Should council accept the settlement in order to get the negotiated benefits? Should they continue the expensive legal fight? Or should they make the gamble of a protest vote?

6 Comments:

Anonymous Laurie R said...

Honestly, I think citizens should begin to fight based on the fact that they are being forced to use one company. How legal is the monopoly being pushed down everyone's throats?

If one is able to have a well and septic tank legally on their property, they would not have to deal with the legal rape PA Water is trying to impose on the community.

The other option will be to significantly reduce water usage. This will affect owners more than renters who have landlords supply water. Hurt the water company.

Council will ultimately make whatever decision it wants, however I am very disappointed in the legal representatives hired for not clarifying exactly what the decision would entail. Whichever legal firm is involved should refund some of the city's money for not fulfilling it's responsibility!

October 14, 2010 at 4:27 PM 
Anonymous Anonymous said...

You will justify the increase by replacing the water meters. Seems funny this is happening the same time American is asking for the waste water increase. You can raise it but that doesn't mean homeowners can afford to pay it. American Water will be UNABLE to collect that increase from Coatesville residents!!!!!!!!!!!

October 15, 2010 at 10:37 AM 
Anonymous Anonymous said...

Here is the bottom line. You will not be able to get any money from C-Ville residents. They do NOT have it. The PUC and American Water will have a hard time collecting this increase from the beginning. Let the other municipalities pay since they are using the largest percentage.

October 20, 2010 at 7:50 AM 
Anonymous Anonymous said...

I can tell you it will only be a matter of time before I'll have to put meters in for each tenant. Considering , it is very, very hard to get anyone willing to live in Coatesville, and even keeping rents as low as possible , this may cause my 70 ys in the family house to crash . We now pay over $6000 per yr just in taxes alone.

October 25, 2010 at 10:40 AM 
Anonymous Anonymous said...

I don't know about all of you, but unless you give your house away, you cannot sell one in Coatesville. It is a shame people are selling homes for so little, makes the city look even worse. Now the water hike will put even those buyers in question of why would they live here

October 31, 2010 at 1:07 PM 
Anonymous Anonymous said...

They are selling houses. Low. To investors. Companies that I've never heard of (perhaps some of them are just new companies forming). They are snapping them up too. And they are fixing them up. Something that has not happened in a LONG time.

Wonder why?

November 2, 2010 at 3:39 PM 

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