New Math at Greater Vernon Water?

That must be it.
It's GVW's version of new math.

According to Gyula Kiss' blog, "the Board approved a policy of sharing the base fee and user pay policy (consumption) on a 50-50 basis.  To an average person that would mean half of the revenues are collected on user pay, the other half on base fees.  Not so with the Greater Vernon Water Utility!"

"A full 78% of revenues is collected off domestic customers.  These customers pay their water bills on the basis of a 63% (base fees) and 37% (consumption fees).

This results in $9,868,600 base fee revenue to $5,790,700 consumption fee revenue.  Domestic customers control only 37% of their water bill.  So it is more beneficial for customers to use the water they need and don't worry so much about drastically cutting back on their consumption.  The more you save the higher your rates will be!  You may pay $30 more but you will get 40 cubic metres of water instead of 10.

If you worry about water shortages:  it cannot happen.  If we are running short of water, we get the drought management plan imposed on us."


Gyula Kiss' comments were based on this February 12, 2016 Morning Star story by Rolke:

"RDNO moves water budget ahead...

The latest financial plan for Greater Vernon's water utility didn't draw any debate.

There was no discussion Wednesday as the Regional District of North Okanagan board gave approval in principle to GVW's budget, including an average two per cent rate increase.

"We've hashed it out at the Greater Vernon Advisory Committee," said director Mike Macnabb when asked why there were no comments at the board table Wednesday.

"We had two or three meetings on water and we looked at options."

The budget includes $5 million for new projects and $4 million for work carried over from 2015.

Among those projects moving ahead are replacing water meters, expanding dam capacity and extending the Kalamalka Lake intake.

Macnabb doesn't believe there should be many public concerns about the budget.

"It's essentially status quo.  It's a small increase," he said.

While there is an average two per cent rate hike for 2016, all customers' bills will vary depending on their water use."

GVW's new math

"Board members obviously believe that 63/37 is really, really, really close to the approved 50/50," suggests Kia.

The new math.

Middle-of-the-night email?

Holy cow, talk about ramming.

Coldstream Councillor Kiss was overheard saying that "the email arrived at 1:30 in the morning", referring to Greater Vernon Water's 2016 draft budget, only scant hours before the meeting!

"I would've wanted more time to check out the details of the 30-page submission," said Vernon councillor Bob Spiers in his blog.

No kidding.

Rather than attaching the proposed budget's 30 pages, this blog has the link to GVW's 2016 Rate Increase proposal covers 6 pages here in an easy-to-read format.
 

Source:  Citizens for Changes to the Master Water Plan

From GVW's proposed budget, $655,000 will go towards reserves.

Five million dollars is slated for new projects (any projects over $5 million must go to public referendum) and $4 million for work carried over from 2015. 

"Wasn't the $4 million for work carried over from 2015 already in reserves?" questions Kia.

And the Kal Lake intake was already approved (i.e. budgeted for?), n'est ce pas?


The Morning Star newspaper, on January 31st, 2016, helps bureaucrats get their message across (in more ways than one), as follows.

"Water work adds up to $19 million, by Rolke:

There's a lot on tap for Greater Vernon's water utility in 2016.

The Greater Vernon Advisory Committee approved a $19 million budget for the water utility during a special meeting Thursday.

"The projects presented are reasonable.  We're trying to replace old infrastructure," said Juliette Cunningham.

The budget includes $5 million for new projects and $4 million for work carried over from 2015.

Among those moving ahead are replacing water meters, expanding dam capacity and extending the Kal Lake intake.

Overall water rates are climbing two per cent, and Cunningham says that's necessary given the scope of work required.

"It's a big system and many parts of it are quite old," she said.

Opposition to the water budget came from directors Bob Spiers and Gyula Kiss.

"I was reluctant to let it go without further study," said Spiers.  "We had no details until 8 a.m. (Thursday).  We could have waited another week or two before making a decision."

However, Spiers says his opposition was more procedural than it was against the budget details.

"I didn't see anything that should be thrown out but when there are 30 pages of figures, it should have more review," he said.

 "GVW could double their revenue by presenting a proposed rate sheet to GVAC twice a year," grins Kia.

They haven't tried that...yet.