Town uncovers inaccuracy and more information about water fees
In an effort to correct an outstanding utility monthly service charge for multi-family residential rates that dates back to 2002, the Fort Myers Beach Town Council will schedule a work session with their appointed ad-hoc committee as soon as the committee has neared completion of its findings.
Once the session and a public utility rate study have been completed, town officials are expected to implement a fair rate to charge all water utility customers. The action is also necessary to produce revenues needed to comply with the terms of its current loan and to operate, repair and maintain the water utility.
The 40-minute discussion on the water fee between council and town staff under its administrative agenda Monday morning at Town Hall centered on inaccurate fees and newly uncovered information since their initial discussion on the matter at a Management and Planning meeting May 20.
“One of the items that came out of the original discussion was that individual condo dues haven’t been charged the monthly base rate,” said Town Manager Scott Janke. “That wasn’t completely accurate. It turns out that condo units are charged on a water meter size. So, I know they weren’t charged as the same as a residential unit at $6.20 a month. The condominium as a whole was charged something higher based on a meter size.”
The ad-hoc committee -chaired by the LPA’s Alan Mandel- was appointed by the town council, while an outside agency is conducting the rate study.
“I think, most importantly, is that we have a work session with the ad-hoc committee as soon as they are ready,” said FMB Mayor Larry Kiker. “If they can identify their own scope of responsibility so that we can discuss what we agree or disagree on at that time would be appropriate.”
Janke said the results of the rate study should be available before the end of June. He recommends moving forward proactively with the issue once the rate study information is made available.
“In an effort to satisfy and correct a problem with an outstanding loan, our enthusiasm in this whole issue may have moved a little bit fast and without all the accurate information,” said Janke. “Over the last week or so, some information has been uncovered about how things were done back in 2002 and, as a result of that, my recommendation is that we await the outcome of a rate study that’s being performed right now by an outside third party.”
Janke said the rate study should be thorough.
“What typically is going to happen is that the group will come in and present their study findings to the council,” he said. “They look at everything: management operation costs; the cost of the purchasing of the bulk water; the replacement of our equipment and things; base rates; and per-thousand-gallon rates. Typically, they’ll make a presentation that will include a number of options to choose from on how to satisfy the long-term fiscal health of the utility.”
The next town council meeting is slated for 6:30 p.m. Monday, June 15. Lee County Board of County Commissioner chairman Ray Judah will be the key note speaker and he will answer pre-submitted questions -email Kiker at larry@fortmyersbeachfl.gov– about Bay Oaks and other Beach issues.