Bandits

That's GVAC director Bob Spiers' description of Greater Vernon Water officials -- the originators of water rates.

And he's quite correct.

But he didn't go far enough when talking about low volume water users (the group in the zero-to-20 cubic metre water category in a quarterly billing period). 

Bandits is definitely an appropriate term for GVW, whose modus operandi appears to be "revenue at all costs" (if that phrase even makes sense) versus being a utility that serves the public...

Take today's newspaper story by Rolke "Vernon water meter replacement fee considered".
Considered?  Really?
It should've been entitled "Water bandits are at it again".

"We have a lot of old meters in stock and we're trying to catch up," said Zee Marcolin, water utility manager, adding "we have 4,000 old meters and that's a big hit for us."

What she's referring to is that because--or perhaps despite--water meters being owned by GVW, and remaining owned by GVW even after installation on the private properties and homes of its customers, water meters generally have a lifespan of 15 years and need to be replaced.

Grab a Kleenex and mourn the big hit GVW will take in their taxpayer-funded pocketbook as they replace 4,000 old meters.  Seems everyone remembers that a water meter is free if it replaces an existing (old) water meter (new property hook-ups pay the entire cost at application stage).

But GVW's mourning is finite; they have a solution, beginning on page 11 of 33 here.

"Pray tell the anxious masses of GVW's solution to the mournful dilemma," you insist.
I'll save the time it would take to click on the link and reduce the 140% landscape-oriented four-page document:  GVW will levy a new fee!

(An audible sucking-in of breath...why didn't GVW think of that previously?" you wonder).

The bandits, however, aren't giving their customers a choice...nosireebob.

Wouldn't you rather pay for the water meter yourself every 15 to 20 years?  (According to Ms. Marcolin, some water meters are still in use after 30 years...decreasing the amortization by half).

Pay for your own meter?
Versus what?

GVW is proposing a "new fee for water meter renewal, based on actual replacement amortized over 15 years", as indicated on page 2 of their 140% landscape-oriented four-page document.

Their idea?  Charging all customers $8.00 per billing quarter for meters as small as 25 mm diameter, increasing to $190.00 per billing quarter for 110mm-160mm diameter water meters.  Per Quarter!  Ad infinitum!  (at least until their next rate sheet is issued at new higher rates, i.e. next year).

Which would you prefer?  Being charged for something each quarter, dependent on the liquid rate GVW imposes for that quarter?  or paying for a new water meter up front, which could be as cheap as $100.00.
This page provides prices for electric readout water meters, beginning at 3/4-inch size.  

Let's use a 3/4 inch (19 mm) meter, or a 1 inch (25 mm) meter for the cheapest GVW rate of $8.00 per quarter as an example.
Now dream/pretend that we GVW customers actually have a choice.
So let's compare the two "options":



Option 1:
Purchase (funded by homeowner) your own (15-year life) 3/4-inch water meter:  $100.00, amortized at approximately $7.00 per year for each year of the 15 year life of the meter.  If, by chance, it lasts 30 years (as many have), the cost is $3.50 per year for each year of its 30 year life.

Option 2:
Allow bureaucrats to convince GVAC directors to proceed with the proposed water meter quarterly "renewal fee":  4 quarters/year at $8.00 for 3/4 inch (~19 mm) meter = $32.00 annually, equivalent to $480 over 15 years.  Then add 2% minimum per year (inflation), as indicated by GVW.  Plus any other rate increases they convince GVAC directors to impose...annually.

"GVW water customers might as well request Option 2," intones Kia, predicting the outcome.

And GVAC?  What have they to say?

"We must look at the zero to 20 (cubic metres) and make that more fair," said Chair Cunningham.  Look back at previous rate sheets, folks.
You needn't look very far...
Zero-to-10 metres consumption used to be "no charge"!
But GVAC directors increased it.


Resource/Links:
GVW Rates Imposition Bylaw No. 2672, 2015 (proposed), specifically pages 17 through 33 for 2016 rate increases.