Water board approves $44.5M budget

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By NANCY COOK LAUER

By NANCY COOK LAUER

Stephens Media

The county Water Board approved a budget Tuesday that’s 6 percent less than this year’s spending plan and relies on an already approved 2.2 percent increase in water rates starting July 1.

The $44.5 million operating budget factors in once-monthly unpaid employee furloughs. Service on bond debt accounts for $2.6 million and another $1 million is reimbursement to the county general fund. On the revenue side, water service brings in $14.5 million and power charges another $20.4 million, with standby charges accounting for another $8.7 million.

The Department of Water Supply plans to spend $14.5 million for capital improvements in the fiscal year that starts July 1. If all goes as planned, that will increase to $19.7 million the following year and $20.2 million after that.

Board member Delan Perry pushed the Water Department to do more, especially green projects that will save money in the long term. He said it’s a good time to get projects completed while the economy works its way toward recovery. He also wanted the department to go after more grants.

“There are projects that could make us more efficient. Although it may not be touted as an energy project, that is always part of the equation” Perry said. “If the payback period is a couple of years, then it makes sense to do them now.”

The Water Board did accept a $200,000 grant Tuesday from the state Department of Health that will be used over the next two years for a wellhead protection project. The project will include educational components as well as an implementation phase to protect water at the source.

The Water Department plans to spend $3 million on repair and maintenance projects during the 2013 fiscal year that starts July 1. Another $3 million will go for the second phase of the Halaula well development project, $2.2 million for the first phase of the Papaikou pipeline replacement project and $1 million each for replacement of a steel tank in Kona, the Haina Motor Control Center, a 12-inch waterline in Waimea and microfiltration for surface sources.

In other action, the Water Board considered, but didn’t act on, a request from the county Department of Environmental Management for a joint water-sewer billing that would shut off water to those who are behind on their sewer bills. DEM Business Manager Robin Bauman said about 10 percent of the department’s 5,398 active accounts are at least 90 days past due on their $27-per-month sewer fee. In all, the department is owed $1.7 million in accounts receivable, Bauman said.

Because there are health issues with blocking sewer service, Bauman said the department has little leverage over people not paying their bills. Shutting off the water, however, could prove a good incentive to catch up, she said.

But Water Board members were reluctant to cut off service to residents who aren’t behind in their water bills. There are also numerous ordinances that would have to be changed and perhaps a charter amendment to put the bills together, they said.

“It’s a good idea to consider, but we have a lot to work out,” board member Art Taniguchi told the contingent of DEM staff at the meeting. “Most of this billing is going to help you guys.”

Email Nancy Cook Lauer at ncook-lauer@westhawaiitoday.com.