SCAC Audio 11/28/11


11/28/11 SCAC meeting audio of Ed Eby comments on the WIP project and rates

h:mm:ss Notes on Comments made
0:00:01 Ed Eby, Public Comment
0:00:04 Director on the NCSD Board of Directors
0:00:12 Review the Last Meeting
0:00:16 At the presentation at the high school we made an estimate of what the pipe line would cost
0:00:26 At that time we said it would be
0:00:28 Approximately $239 property tax for a parcel 1/3 acre or less
0:00:37 In addition to that your water bill would go up $8 per month
0:00:44 That was the information at that point
0:00:48 we have had our financial consultants looking at ways to fund this project
0:00:54 and looked at another mix that has less property tax and more burden on water rates
0:01:02 The second option they came up with.
0:01:09 an annual property tax for the same size parcel of $103
0:01:15 and a water bill will be f $12 a month on average they with out the project.
0:01:28 Those were NCSD numbers
0:01:31 What those mean in terms of the other water companies is
0:01:33 Rural Water company would be about the same
0:01:38 Golden State Water Company would be less, in fact about 1/2 that
0:01:45 If you lived in the Woodlands it would be twice that
0:01:50 the point is the mix that we are looking at now would be less on the property tax and more on the water bill
0:01:58 and would be like I said about $12 a month more
0:02:03 and your annual property tax would be about $103 dollars per year for this assessment or $8.58 per month
0:02:12 The third option that we did not look at was completely with rates
0:02:24 to get increase among all four water companies would take as long as 2 years
0:02:34 We don't think if you wait you save money
0:02:38 Look back at los Oso $15-$20 million in 1980s and now $180 million
0:03:01 before inflation and construction cost go up we want to do this project.
0:03:22 Question: What would have been the relative cost of desal
0:03:28 Well We tossed that out of the mix because be figure that is a 15-20 year project
0:03:44 Monteray is now $400 million and was $200 million
0:04:01 Desal for use would be at least $100 million dollars and 15-20 years out
0:04:17 Why?, EPA, Fish and game ...
0:04:57 Question: Why is Golden State 1/2? Because they are spreading the cost over more customers.
0:05:11 Question: The $103 what would it be for 1 Acre?
0:05:16 probably twice that
0:05:36 .35 acres is one benefit unit
0:05:46 :One BU is $103 per year or $8.58 per month
0:06:00 Question: from SM 2500 AF of water how much does it cost.
0:06:05 I can't tell you that right now
0:06:19 I have been looking at those numbers for a year and don't get that.
0:06:24 Ed Eby, I'm Sorry
0:06:30 Question: How many BU's are there in this project?
0:06:33 14,000
0:06:41 Question: Have you looked into the Sand City desal
0:07:02 Eby, Sand City?
0:07:17 Bill, it's a plant that is very far along and got all the approvals
0:07:38 Eby, The only project I have heard about are Moro Bay and Santa Cruze
0:08:09 Chair, John Do you have a question? John, Yes I did.
0:08:14 Ed Eby, I don't answer Questions from you John.
0:08:18 John, I will just ask my Question
0:08:19 John, You mentioned that you had a $12 rate increase
0:08:23 For option number 2
0:08:25 At the bottom there is a footnote, That's for the first year
0:08:28 At the bottom there is a foot note that says
0:08:30 :that a similar increase has to occur in year two and three
0:08:35 and in the fourth year it will level off.
0:08:36 So does that mean in the fourth year you are talking about $36
0:08:40 and only the first year is $12
0:08:43 you have to have another increase after that and another one after that