City looking to improve sewer deals

By Jessica Soule / The Citizen

Tuesday, October 23, 2007 9:59 AM EDT

The city may hire a firm to review sewer contracts to make sure Auburn isn't getting a raw deal.
The Auburn City Council will decide if paying $32,500 is worth the potential savings and revenue increasing ideas a rate consultant could offer.

The city may contract with Amawalk Consulting Group, LLC, to review all the water and sewer agreements. The New York City firm would examine the meters, existing contracts and current rates.

Issues to be addressed include requiring all users to pay their appropriate share of maintenance and operation expenses, looking for opportunities to adjust rates, and calculate the cost of both water and waste water as opposed to what Auburn is charging.

The water contracts with the towns and villages have those customers paying 5-percent more than city residents. But the wastewater contracts for Owasco and Fleming cost those customers $1.35 per 100 cubic feet, compared with $4.78 per 100 cubic feet for Auburn residents, the highest paying sewer customers. Aurelius and Sennett also have sewer contracts for similar amounts to Owasco and Fleming.

Corporation counsel John Rossi has said the parties can't change contracts over to a uniform set of rates at the same time.

“Previous administrations have cost us dearly in trying to (have) universal contracts,” Mayor Timothy Lattimore responded.

Another goal of the company is to find ways of increase sales and revenues.

Workers will identify which properties are connected to utilities but not charged by examining property taxes, sewer records, interviews, site visits and other data to stop the flow of unaccounted for water.

The firm would address other sources of unaccounted for water to make the system more effective, such as water the city uses but does not track.

In the second phase of the plan, the company would explore shared service agreements with other utilities and prepare an action plan. The first stage would cost $7,500 and the second would cost $25,000.

In other news:

- The city council will vote whether to allow city manager Mark Palesh to advertise for bids for the construction of the landfill's fourth cell.

The categories would include contracts for general construction, electrical construction and heating and ventilation construction.

Staff writer Jessica Soule can be reached at 253-5311, ext. 267 or jessica.soule@lee.net

The Citizens' Say

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There are 4 comment(s)

forrest wrote on Oct 24, 2007 11:10 AM:

" What is Rossi and the other city lawyers getting paid to do at city hall? The city wants to or is going to hire an outside firm to review water and sewer agreements to be sure the city isn't getting a raw deal, are you kidding? the only ones getting a raw deal are the tax payers. Why doesn't the company that sells the city the water meters come and examine them? Have one of the citys lawyers call the meter company and see if they have a follow up programs to check the meters that they sell. What are the people who are paid by the tax payers doing at city hall? Election time is coming, TIME FOR A CHANGE! "

I live here wrote on Oct 24, 2007 1:27 AM:

" Geesh, Dan...isn't that what's been done in the past and hasn't panned out for securing better contracts? The more that gets disclosed the worse and bigger this picture gets. Something needs to be done now to address and FIX these issues. It's high time Auburn starts taking a pro-active approach to solving problems. Palesh is finding so many problems which relate to city revenues lost or unpaid that if collected and corrected will impact us all for the good. "

Dan W wrote on Oct 23, 2007 10:56 PM:

" Why pay some company to look at this? How about giving the task to someone in city managment? "

Andy B wrote on Oct 23, 2007 2:51 PM:

" If this info is true we need to negotiate better deals. "

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