Md. Water, Sewer Utility Seeks 9% Rate Increase

The board that oversees the troubled water and sewer system for Montgomery and Prince George's counties yesterday approved sending a 9 percent rate increase to their counties' leaders for approval, saying it would keep the utility running but do little to overhaul decaying underground pipes.

The county councils must sign off on the increase in May as part of the Washington Suburban Sanitary Commission's proposed $930 million budget for fiscal 2010. Its approval is widely expected. The WSSC board would formally adopt it in June, and the increase would take effect July 1.

Meanwhile, Montgomery Executive Isiah Leggett (D) and Prince George's Executive Jack B. Johnson (D) met in Annapolis late yesterday to discuss ways to break the WSSC board's yearlong stalemate over hiring a permanent general manager, according to a spokesman for Leggett.

"There's no decision per se, but the county executives felt like it was a good meeting and moved the ball forward," said Leggett's spokesman, Patrick Lacefield. He said the county executives also were involved in negotiations on the 9 percent rate increase.

Montgomery commissioner Gene W. Counihan said commissioners are sensitive to the fact that many ratepayers face tough times. "But we also think this is the minimum we can do to ensure safe and reliable water," said Counihan, the board's vice chairman. He said the rate increase would provide no additional money to "significantly ramp up" efforts to inspect, repair and replace failing pipes.

The increase would add $4.50 to the average monthly residential water bill of $50, WSSC officials said. WSSC provides water and sewer service to 1.8 million residents of Prince George's and Montgomery counties.

Thousands of WSSC water pipes rupture each year. The six-member board of commissioners -- three appointed from Prince George's and three from Montgomery -- has been criticized for its contentious meetings and inability to get beyond 3 to 3 stalemates to hire a permanent general manager or address the pipe problem.

Although the board spent its first 50 minutes yesterday morning arguing over its monthly meeting agenda, there was relatively little disagreement about a rate increase.

It would be less than the 14.9 percent that WSSC officials initially requested to provide "critical proactive maintenance" but more than the 6 percent proposed by the Prince George's County Council.

Joyce Starks, a Prince George's commissioner and the board's chairman, said she heard little opposition during public budget hearings this month.

"Our community is kind of okay with rates going up by 9 percent," Starks said. The board will need to find other ways to pay to repair and replace its pipes more quickly, she said.

The proposed budget includes no additional fee for infrastructure renewal.

Such a proposal died last year when commissioners split along county lines over how much to charge. Commissioners from both counties say they cannot justify an additional fee in a sour economy.

WSSC officials have asked for $75 million from the federal stimulus package for infrastructure renewal, but several commissioners said they don't think the utility will get that much because of media reports that Maryland is expected to receive $123 million for water and sewer projects statewide.

Staff writer Ovetta Wiggins contributed to this report.