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Wednesday, May. 06, 2009

Livingston council delays decision on water rates -- again

LIVINGSTON -- The Livingston City Council delayed a controversial vote on water and sewer rates for a second time on Tuesday night in the face of strong opposition.

A large crowd of angry Livingston residents gathered before the City Council to voice concern over potential utility rate increases of up to 175 percent.

Most in opposition supported a rate increase but opposed the steepness of the rate hikes in a city with many low-income residents in a time when the economy is hurting.

"It's ridiculous," said Livingston resident Maria Santos. Most of the people in Livingston either work for Foster Farms or in the fields, she said, and they can't afford to pay the utility rates proposed.

While the city was faced with strong opposition it was made clear that if these increases are not passed cuts in other areas will have to be made.

"From time to time difficult decisions need to be made," said City Manager Richard Warne. If these problems are not solved today, he said, the city will have to start cutting from the fire and police budgets. The losses from the water and sewer budgets have to come from somewhere and that is currently the general fund, he said. The water fund has already amassed a deficit of more than $1 million.

At a previous council meeting, the city postponed a vote on the matter because of similar opposition, despite the low number of protests the city received.

Whenever a city raises its rates for water, sewer or garbage, state law requires the city to send out notices to all those affected. In Livingston's case, that was roughly 3,000 water accounts. The city postponed the decision and published a notice in the Livingston Chronicle in three languages after receiving complaints. Even after the extension and second notice the city only received 401 protests.

The city argues that since there has not been a rate increase since 1995 the water and sewer accounts have been running in deficit and needed infrastructure projects have not been implemented. Since the water and sewer funds have been running at a deficit each month, the city uses $25,000 to $30,000 each month out of the general fund.

Chris Rivera, a Livingston resident, asked the council how much his bill on 25,000 gallons of water would increase. He was told that with the steepest of the three rate proposals a bill for 20,000 gallons would jump from $9.94 a month to $39 a month.

The most common and heartfelt critique by many who spoke to the council was just plain economics. With little income, many would not be able to pay for their increases.

"There are a lot of people who are on disability," said Anna Maria Galvan who is on a fixed income and worries that with these rate increases she would have to choose between food, medicine and water. She uses 8,000 gallons a month in the winter and about 14,000 in the summer and currently pays $58 a month. Her new bill under one of the plans would be about $75.

But the city argued that the increases will only really hurt those who use more than 20,000 gallons a month, only 20 percent of the city's residents. The majority of people, especially single elders on fixed incomes, don't use more than about 6,000 gallons a month, said Mayor Daniel Varela.

Former Mayor Gurpal Samra wondered whether some of the capital projects that are tied to the rate hike were needed at all. Was the expansion of the wastewater treatment plant needed, he asked, if the current plant's capacity is still not met?

Some residents did support the rate increase on Tuesday night, like Kate Greeley. "I would like to have water I can drink," she said.

Reporter Jonah Owen Lamb can be reached at (209) 385-2484 or jlamb@mercedsun-star.com.