Thursday, July 28, 2011
Senate committee hears testimony on high water rates
Public testimony has started in a day-long public hearing now being held by the Senate Subcommittee on Water Utilities in Rural and Unincorporated Areas. The hearing is chaired by Austin State Sen. Kirk Watson. Woodcreek and area residents are expected to testify. You can watch it live stream from the Texas Legislature's website. Scroll down to the Natural Resources Committee, then click on the Real Player window.
The hearing adjourned shortly after 3pm. Watch the recorded video at this link, click on July 28. Requires RealMedia player. There are interesting and sharp exchanges between committee members and witnesses.
Here are some of the comments taken live from the hearing . . .
Senator Deuell, district includes Rockwall: Tells investor-owned utility lawyer, "There's some evasion going on here . . ."
George McIntyre, Hornsby Bend: "The water rates we're paying right now do not reflect any kind of policy for conservation . . . I'm going to pay $72 right out of my pocket (without using any water) .... my bills run between $106 and $110 per month . . ." Asks committee to reevalute fixed rates on water bills.
Woman: "Somebody needs to look at these (rate increase) applications . . . the TCEQ needs criteria for what is just and reasonable . . . it is affecting our property values . . ."
Woodcreek Mayor Eric Eskelund: "Woodcreek is a small retirement community . . . with 824 water connections and 542 sewer taps . . . the issues raised here affect the quality of life of our citizens . . ." Eskelund mentions the city's survey of Aqua services among city residents in which 70% rated Aqua's service poor.
Sen. Watson: "We have a strong perception (that the system is broken) . . ."
Witness representing the Barton Springs Edwards Aquifer Conservation District (in east Hays County/south Travis County): "It is vitally important to implement incremental pricing (higher rates for higher consumption)."
Witness from Harris County, area served by Aqua Texas: "Water is the only utility for which we have no competition" . . . fixed charges have risen by 85%, four times the rate of inflation.
DuAnne Redus, Wimberley business owner and Woodcreek POA vice president: "My top criterion (in moving to Wimberley) was quality of life, the beauty of nature and flowing rivers and streams." Speaks about talks under way between Aqua Texas, Will Conley and other stakeholders which "have allowed citizens to begin making progress towards solutions."
Melba Porto, City of Houston: Speaking about a municipal bailout of $11 million of a substandard, failed investor owned water utility . . . recommends changes to the state water code to minimize rate case costs.
Sally Caldwell, former Woodcreek city council member: Aqua rates "are really starting to have an impact . . . a lot of people won't even look at Woodcreek just because of the water rates . . . if the state has a right to grant a utility a monopoly it should have the right to put some restrictions on it . . . much like these signs put up for zoning changes, at the major entrances to a subdivision, there should be a sign for who's providing the water."
Kyle resident speaking of Monarch Water Supply: "Their current rates are higher than the city's (Kyle's), we have major taste and other problems" . . . water sometimes is brown. "New business and industry will not choose to move where it is uncertain whether their (water) demands can be met. I have personally seen that in Kyle."
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9 comments:
As I read these sincere public testimony comments from concerned citizens about our water against the regulatory backdrop of the hearings, I can't help but feel the cynicism pop up after years of such political showboating.
Yet I hope I am wrong. Sadly, I don't think my cynicism is unwarranted.
It appears we have already made the assumption that privatized water is a given going forward. That is a mistake - although probably realistic in this state.
In Texas, and most of the nation now, industry controls the regulators.
Even Sally Caldwell, who is a tough pro-citizen advocate in the Wimberley area says:
"...if the state has a right to grant a utility a monopoly it should have the right to put some restrictions on it...".
This is an understatement. The truth is if the state has a right to grant a monopoly, it should have the right to put almost complete restrictions on it.
Water is never something that should be run by for-profit entities, especially ones that are controlled by shareholders who benefit from over-inflationary rate increases and pure profit-focused service maintenance.
Wall Street water companies are the perfect example of the time proven saying:
"What is good for Wall Street is bad for Main Street."
Duanne Redus comments give the impression that the Woodcreek POA members support Aqua Texas. Nothing could be further from the truth. Just attend a WPOA general meeting and listen to the people talk about Aqua Texas. I have not heard any one from the board to the general attendees who like or support Aqua.
The Anonymous at 2:06 pm that says, "Duanne Redus comments give the impression that the Woodcreek POA members support Aqua Texas" must be a super hater of ATI and surprisingly Ms. Redus as well.
Duanne said nothing of the sort and you are only trying to stir up trouble by mischaracterizing her words. I suspect your exaggerations are indicative of something else more personal. Your words give you away.
What she is alluding to are the efforts underway to improve communications between the WPOA, the County and Aqua Texas. I am on record as being a staunch critic of Aqua Texas but have benefitted from frank discussions with some of their representatives. Aqua and the citizens of WSP and Woodcreek Phase 1 and 2 are stuck with each other and need to understand each others concerns to help solve problems, going forward.
It is not primarily Aqua Texas that is responsible for the high cost of water and sewer in the subdivisions; it is the TCEQ that allows such excessive charges. Look towards all levels of Government for the culprit and you will usually find it 9 out of 10 times.
Duanne Redus has been a shinning example of civility and understanding in all conflicts, even the ones that presently afflict the WPOA itself.
@Anonymous 7:51pm
I did not see anything in Anonymous 2;06PM's post that showed the person posting had any hatred toward Miss Redus or Aqua Texas.
Anonymous 7:51 you must not believe in freedom of speech. Everyone is entitled to his or her opinion without being called a hater of people.
I do not agree with anonymous 2:06 but I respect his/her right to speak without being insulted.
To blame an investor owned utility, (IOU) such as Aqua Texas for their high rates is like finding that neighborhood children have broken your window and then blaming the kids. Since children are basically irresponsible and can be expected to act in that way, I would prefer to blame their permissive parents who due to their lack of supervision allowed their children to vandalize my home. I blame the government agency, the TCEQ that allows the high rates by incompetence, inaction and failing to adequately supervise the monopolies they create. Worse than the inaction, is their apparent functioning as a Rubber Stamp for the industry.
The TCEQ is an incompetent, obese bureaucracy that is chock full of lawyers that are in constant fear of litigation and by default function to the benefit of the utility industry. They fear litigation and the work that it would create, more than the almost non-existent State oversight. They have a confirmed record of creating monopolies and then setting them free to victimize their customers. A permissive regulatory agency that functions without any recognizable oversight creates a potential for the worst kinds of abuses by a state sponsored monopoly.
The Senate Hearing is a good first step and I hope that it will eventually result in re-organizing the bloated TCEQ's functions and establishing rules and regulations specific to (IOU)s. Maybe it is time that the TCEQ's duties and responsibilities are passed to another State agency with a better record of regulating private industries.
It is sad that we pay our taxes expecting the State to protect us from industrial monopolies that they grant, only to find out that they are quite efficient at granting but far too weak at protecting.
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A couple of the Anonymous comments above are so accurate and clear (like Anonymous # 4) I think they should show names so everyone can give your intelligence the respect it deserves.
There are some potential community leaders hanging out in the shadows. You all should consider not being Anonymous so we can all give you credit for your insights.
Anonymous #2 says:
I am on record as being a staunch critic of Aqua Texas but have benefitted from frank discussions with some of their representatives.
Not much of a record in terms of credibility since you are posting as Anonymous.
Anonymous #2
???? What are you so angry about? This is a blog on water issues not a blog to attack other blogger's.
Rocky I agree with you that privatized water is probably in our future and that is just not right. We the people need to control the regulators. Water is a necessity for life and as such should not be controlled by for profit businesses. Next thing you know we will be paying for air! (Don't get in a huff I am just making a literary point.)
Anonymous #2 I think you are so sweet to stick up for your woman, Duanne. If more men; and I am assuming you are a man if you are not I apologize; stood up for their woman that way then there would not be so many divorces.
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