This purpose of this post is to educate all of us about the rate increase. It is also posted in the event the PUCO does not put it onto the docket. Jim Welch gave me permission to share this letter with you and anyone else who is interested. I suspect all of us are interested. Pam Clegg
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PUCO,
Ohio American Water Co. (OAWC) is immediately in violation of the opinion and order for case #07-1112-WS-AIR signed November 12, 2008.
I have enclosed my current water bill which I received November 21, 2008, with a due date of December 4, 2008. If you look on the left at the billing period and meter information, you will see the billing period for this bill. The billing period is October 10 to November 12 (33 days). Also, notice on the right side current water charges volume at $5.044900 per ccf and current wastewater charges at $8.2600 per ccf. Please note these are the opinion and order rates, and the bill is before the opinion and order signed date.
Page 23 of the opinion and order states that the new tariffs shall not become effective until the company has filed four (4) complete, printed copies of final tariffs with the Commission. The new tariffs shall be effective for bills rendered on after such effective date.?? The opinion and order was signed November 12, and on November 14, 2008, the new tariff (revised tariff) was submitted (32 pages) to case #89-7025-WW-TRF by Sally Bloomfield on behalf of OAWC.
It is my understanding that OAWC can charge the approved new rates for water/wastewater usage beginning November 14, 2008. Please note my bill is for October 10 to November 12, 2008.
During the public hearings, numerous customers commented on OAWC's "gouging and exploiting their customers. Testimony also expressed numerous flaws in the communication between their own departments" meaning OAWC's right hand does not know what the left hand and feet are doing. OAWC has always twisted and manipulated the laws and tariffs to their best advantage ignoring and gouging the very reason for their existence, their customers. This is the latest example. At the end of case #06-0433-WS-AIR, OAWC tried the same thing but when caught stated it was a clerical error. Now here we go again. This is a blatant disregard for OAWC's customers and the PUCO.
Please also note half of the Huber Ridge customers received their water bills November 19, 2008; and their bills were of the #06-0433-WS-AIR rates, and the other half received bills November 21, 2008, and they were of the #07-1112-WS-AIR rates. What a difference two days make!
While I have your partial attention, I would also like to mention my disbelief (sellout) of the Public (pushover) Utilities Commission of Ohio (PUCO) in their rubber stamp of the stipulation submitted September 4, 2008.
The PUCO's opinion and order is a rubber stamp of the stipulation of September 4; it took 68 days to give this rubber stamp called an opinion and order.
The opinion and order acknowledges several factors:
Page 4 recognizes that numerous letters and petitions were submitted, recognizes the frequency of applications for increases (3 in 5 years), and recognizes that OAWC will file another increase after the current increase (#07-1112-WS-AIR) is decided. Yet the PUCO approved a huge increase with no step program, e.g., 10 percent per year for 3 years.
Page 14 recognizes the minimum amount owed for disconnection. The agreed amount between the parties was $75 for disconnection in arrears. Yet the PUCO and parties involved failed to recognize that OAWC states the average usage is 7 ccf. Seven ccf at #06-0433-WS-AIR rates are now $110.00 if you look at my bill. I received my bill by USPS on November 21. It is due by December 4 and overdue with a penalty on December 19. If at the current rates I would be disconnected soon afterward because $75 is not even a month's bill according to OAWC's average 7ccf bill. Wow, $110.99 a month for water/sewer.
I could pick apart many pages of the agreement and opinion and order, but it would not help. The customers of OAWC pay for each increase many times over. We pay for OAWC's application cost, our own cost to oppose it, the PUCO's and OCC's cost to rubber stamp it, plus the actual increase itself.
I had testified asking for OAWC to donate to the associations who oppose these frequent increases to defray the customers' cost. I had testified asking for OAWC to donate/give back to the customers/communities they take so much from in the form of connecting to the Alum Creek bike trail at the rear of OAWC's property and to donate to our local parks. These are gestures I feel OAWC could partake in to bridge the huge gap between its customers and the Company. Neither of these were considered or discussed - just dismissed.
Ohio is on top of the country's list for unemployment and foreclosures. Ohio's businesses and residents are leaving the state - moving mainly due to the cost of doing business and living in Ohio. The costs are due to our PUCO's uncanny ability to approve our utilities rate increase applications. The laws that govern these utilities are old and outdated. Most that are on the books are there to protect the customers. Over the years, they have been twisted, manipulated, and interpreted for the benefit of the utilities.
I think it is time to review these laws and modify/rewrite the laws to do the job they were intended to do - protect the consumer. The PUCO should look at these and write a review/report of the changes needed.
Second, maybe it is time to elect, not nominate the PUCO's Commissioners. This change allows for accountability.
It appears in this case #07-1112-WS-AIR that some money has exchanged hands under the table between OAWC and PUCO, OCC. There should have been some give and take for both parties involved - the OAWC and its customers. All we saw is a lot of take on the part of the OAWC with the OCC's and PUCO's help. The PUCO took 68 days to rubber stamp this agreement - just 7 days after the election. Is this a coincidence? I believe not. The customers of OAWC and the residents of Ohio need accountability.
Your attention to the early billing is appreciated.
Thank you,
James Welch
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