Town Manager Hozey has been navigating the landscape of the utility sale to Virginia American Water as Cape Charles explores potential changes in its infrastructure.
The Town Manager has delved into the State Corporation Commission (SCC) staff report, a pivotal document shaping the town’s potential utility sale. Working with legal counsel, who is in turn collaborating with Virginia American Water (VAW) counsel, the town is orchestrating a formal response to the report. This response aims to address key points raised by the SCC and move the process forward.
Discussions surrounding a stipulation agreement have gained momentum. If accepted by all parties involved, this agreement could preempt the need for an evidentiary hearing slated for the coming month. Such progress marks a step toward resolving complexities surrounding the utility sale.
Cape Charles is also engaged in a broader SCC filing concerning VAW’s rate case. Ensuring that the town’s interests are represented, Hozey and staff are scrutinizing this filing to guarantee that any proposed rate adjustments align with Cape Charles’ expectations and financial considerations.
The town has also been actively engaged with VAW, conducting routine updates on the status of water and wastewater plants. These meetings serve to ensure that operational standards remain robust during this period of transition.
I lived in an IL community (Champaign Urbana) that sold their water utility to this company. X-state “American”; that word in the name is the only American thing about this European company buying up valuable American assets.
Soon after they bought the company, the rates were rising so fast that they switched to monthly billing from every two months, and after ten years the annual rates had doubled.
A study was conducted to assess their claims that the increased rates were for infrastructure investment. The study indicated that the new owners invested less in infrastructure than the municipal utility had been over the prior ten years. And naturally, the difference was profit for them.
This sale is a short-sighted solution to a long term problem. We as citizens of this community are better off owning the assets we need to survive than selling them to someone who wants to raise our rates and profit from them. It would be like selling our streets for someone to charge tolls and parking.
Very well said, but it sounds very much as if you expect a logical and rational analysis to make a difference in a place where irrationality, short-sightedness and shallow thinking seem to prevail.