WEDNESDAY, APRIL 16, 2003 - MUNICIPAL CENTER 6:00 PM
CALL TO ORDER
The meeting was called to order by Chair Hopkins.
ROLL CALL
Councilors present: Christy, Hopkins, Lymburner, Pomerleau, Simpson and Spencer. Councilor Nesbitt was excused.
NEW BUSINESS
77-03 Resolution in Opposition to LD 1359 - An Act to Establish the Locally Governed Water District Act [Hopkins]
Chair Hopkins said that this resolution was the result of a meeting held this past Saturday by the Standish Steering Committee with State representatives. Dave Thomas advised us that this LD would be heard on Thursday and the Committee felt that this resolution should be brought forward to the Council so it could be read at the State hearing.
Gordy Billington said for background this legislation had been previously submitted. This year it was changed on the request of the Water District where it had failed in the past. The changes include to create a pilot program where three sizes of Water Districts can opt out the governance. This program would be reviewed in 2007. He said that it could have some big impact on the Town.
Gary Moore said that he attended a meeting with the Water District and their attorney regarding their lobbing on this LD. He said that he sat in on the meeting to see their overall strategies that are driving their interest in this legislation. He said that at this time he had not arrived at an overall understanding of their strategies went on to say that nonetheless it is clear that the Water District is intent and serious about getting passage of this measure. He said that their attorney is very capable. He said that he urged the Council to pass this resolution that is before them tonight. He said that it's not important to pack the entire room with people that will testify but this will show the Town of Standish is behind the testimony others will present. He said that he urged that this is passed and it is critically
important if we are going to protect our residents from the opportunities that the Water District will have to set rates without the opportunity for review.
Councilor Simpson asked if he had heard Gary right that they were lobbying in a workshop today before this bill was heard?
Gary Moore said that it wasn't in a workshop but there is an active lobbying effort at the State House.
ouncilor Simpson asked if they were lobbying individually or collectively?
Gary Moore said individually. He went on to explain that there was a meeting with Joe Bruno that he had asked to attend. He said that he sat in on that with an eye toward getting a handle on what is driving this thing and the other legislation. He said that he didn't get that but he did get the sense that they are earnest about pursuing this. He said that this is not a trivial interest to the Water District. It was not a workshop it was more a lobbying effort.
Councilor Lymburner asked if Gary what he had heard about their plans for expansion or rate hikes?
Representative Moore said that was not discussed at the meeting that he was at. He said that at that meeting it was discussed that frequently efforts of the Water District to get routine business matters before the regulatory agency took too long and was expensive. There was no discussion about expansion or rate hikes. He said that they did discuss local control. He said that was important to many people in Maine in a different context. We are all familiar with the idea that we like to control our affairs locally. He said that nonetheless that concept realistically transfers to a public utility. He said that it is an appealing argument if you are trying to advance a cause. Local control is very important. Excess regulation and local control are the two arguments that were presented today.
Dave Thomas said that it is difficult expand on the comments that have been made. He said that at a time when the Portland Water District is undertaking the largest expansion in many years there needs to be more input from people. He said that there are regulatory agencies or commissioners who have far greater insight than he does. He said that he thought that the Water District would like to have a regulatory agency rather than be on their own. He said that it is another check to see if they're strategic plan is really appropriate. He said that it was a twenty-year plan and it's not the kind of thing that the regulatory board has to react to immediately. He said that 911 was a good example. When that happened there was no objection to closing the boat ramp or exercising whatever it took to safe guard their resources. He
said that they got significant Federal funds involved. He said that he didn't see that the regulatory part of it was cumbersome to them. He said that it takes a lot of planning and many years. He said that when they are trying to take on the largest expansion and we are trying to have some input because if effects us greatly. He said that we need some system for review. He said that we have attended the Trustee meetings and tried to put forward other ideas. He said the personally looking foreward to this meeting with the PUC so we could present the ideas that are listed here.
Councilor Simpson said that Bob Lowell's articles in the American Journal was well written and copies of that should be brought with them tomorrow and submitted as evidence because that expands on the expansion process. The article cited that it would cost the average water user $200 in fees. He said introducing that would show what they plan to do. He said the second thing was that last year the PUC appeared neither for nor against the LD. He said that is fairly typical unless it is their bill or they are vehemently against it. He said that they never appear for or against but then the word start to come out. He said that he thought that the PUC was trying to get rid or some work and will support this. They did support it last year which you can tell by reading the information that Gary gave to us last week.
Councilor Lymburner said that Gary had brought up the issue of local control and what is happening with this bill is we are losing local control here in Standish since we are not a member of their board. She said not only is the Town losing control or a voice, but the citizens, not only of the Town but the 100,000 people that re served by the Portland Water District are going to lose their ability to have control over any rate increases. She said that now the process is that citizens through the PUC can petition if they feel aggrieved by any rate increase. If they feel it is unfair they can go to the PUC but if this is gone the only thing that the people will have is the court. She said that for a lot of people they won't fight a rate increase unless that can get a lot of people to together to join together to support
because the cost really prohibitive. So, the people are losing control and Standish is certainly losing control. She said that she didn't thing it was a matter of local control she said that it is a loss of local control.
Chair Hopkins said that the Water Districts rational that it takes too long and expensive to go through the PUC. She said that multiply that by 100,000 consumers never mind the Town of Standish. The expense and length of time that it will be if they have a challenge to the Water Districts actions. This should be brought forth in the testimony she thanked Representative Moore and she thanked for bringing that information foreword.
Representative Moore said the Councilor Simpson had made an excellent point about the PUC wanting to get out from under the task of their job of regulating the utility. He said that last time this came forward the public advocate Stephen Ward testified in opposition in spite the fact that the PUC was in favor of it. This time he is not testifying against this bill he is testifying luke-warm in favor of it. He said that was a serious problem for us. He said that he intended to testify showing the parallel between Mr. Ward's testimony last year and this year.
Councilor Lymburner said that we need the PUC when it comes to the Water District. She said that when you look at the other utilities that they have oversight over such as the phone company, the monopolies you don't have the free market for rates. You can't do that for the water. You have the water that goes through your pipes and there is no one else that will be supplying it to you. She said so if any utility needs oversight it certainly is the Water District.
Councilor Simpson said that one thing that is not addressed in the resolution is the other recourse is if they vote to go away with this thing they open the doors to have everything falling back on the legislature. They ought to be made aware that may happen in this situation.
Chair Hopkins said that Gordy had done a good job pulling every ones ideas together in this resolution for us.
VOTE: 6 Yeas - 0 Nays
PUBLIC ITEMS
Councilor Simpson said that last night the Budget Committee had done an excellent job and completed their review of the budget with no changes. He said that they did a wonderful job and if everything goes through we'll have a .10 › increase.
Councilor Pomerleau said then that is a $10 per $100,000 value with a $150,000 home you will have a $15 increase for the year. He said that in these times a .10› increase is great.
ANNOUNCEMENTS
Several upcoming meetings were announced.
EXECUTIVE SESSION
None this meeting.
ADJOURN
Moved Seconded to adjourn the meeting. The meeting adjourned at 6:25 pm.
Submitted By:___________________________ Clerk/Secretary
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