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Lucknow sewer rates increase dramatically By Liz Dadson |
Huron-Kinloss Council To Comment on this article Click Here |
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Residents of Lucknow will see a dramatic increase in their sewer rate, to $290/year from $190/year, retroactive to Jan. 1 of this year. At the Huron-Kinloss general committee meeting Feb. 7, treasurer Jodi MacArthur told council that this past summer, staff learned that the hydro meter inside the Lucknow Sewage Treatment Plant had not been read for more than two years. Hydro One personnel finally got a reading and the company had been grossly under-estimating the village usage, resulting in a bill of about $60,000. "We are now making sure that this meter is read regularly," reported MacArthur, "either by Hydro One or by our own staff to ensure this situation does not occur again." Unfortunately, this unexpected bill created a $110,000 operating deficit for the Lucknow sewage system for last year. Since the water and sewer systems are user-pay, the township has always funded any deficit from each system's reserves, said MacArthur. The Lucknow sewer system has a small reserve fund that is used for capital needs, MacArthur said. There is also a reserve which contains the note interest and dividends from the investment in Westario Power, but it is designated for water as well as sewer needs. The Lucknow Sanitary Sewer Reserve Fund has a balance of $18,651.51. "We had to fund the 2010 deficit from the PUC reserve, but this has almost entirely depleted the reserve which leaves the system in the precarious position of not having any reserves in the event of an emergency repair or required removal of sludge from the lagoon," said MacArthur. Consequently, staff put forward the increase in the sewer rate for Lucknow. "We need to make sure the ratepayers know why this is happening," said councillor Lillian Abbott "Is there any penalty to Hydro One?" asked councillor Carl Sloetjes.
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"No, but we're reading the meters now," said public works director Hugh Nichol. Laurie Cox, project manager from Veolia Water Canada which manages the water and sewer systems in the township, said the Lucknow plant used to be equipped with timers. "I'm not sure the plant needs to run constantly, 24/7," he said. "We could put timers back in and that would cut the cost of hydro." That issue will come forward during budget talks. Scrolling stops when you move your mouse inside the scroll area. You can click on the ads for more
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