JoAnn Saunders was the first person to address the Board and expressed dissatisfaction that the cost of a plumber and an electrician was not included in the tap fee. She also expressed dissatisfaction with receiving a flat sewer bill each month for $58. She suggested that when the Board receives money from the contractor lawsuits, that part of it be given back to some customers who paid in the beginning.

Response: Handy has a list of plumbers/electrician who have been trained in the connection of your house to the Handy tank and we are happy to provide the list. You can negotiate with as many as you desire to get the best price. Since a plumber/electrician may need to enter your house Handy decided it was better to have the property owner to find a tradesman that they were comfortable. Handy has invested millions of dollars in constructing the Badin Lake Sewer Project. A large percentage of that investment is made on individual properties. After completing the installation on each property we believe it is reasonable to begin to collect a flat fee of $58 to recoup those investments. It is likely that any monies recovered in the law suits that are not required by maintenance would be used to pay down the debt. If that is a sizable amount it may reduce the flat fee.

Elaine Penny was the next person to address the Board and questioned as to what would happen to people if they didn’t hook up. She also discussed that she was not interested in participating in the sewer system and that she only paid the tap fee because she felt threatened by a misdemeanor charge. She also expressed that spending an extra $1,200 a year for a place she only visits 10 times was not cost effective for her.

Response: Handy has stated several times that we would prefer to persuade customers to connect to the sewer system. But the Town Hall Meeting presented “trigger dates” that if we do not have a specific number of connections the Board will move to implement a mandatory connection process. The statute does allow civil and criminal procedures against property owners who refuse to connect. People who paid a sewer tap fee committed (like Ms Penny in 2009) to be a part of the operation of the system. The State made grants and loaned monies to create the sewer system on what was understood to be a commitment to connect when it was operational. It has been known since 2006 that Mandatory Connections may be required to insure that the 1067 paid sewer tap customers were connected. 

Bill Kinsey was the next person to address the Board and inquired as to what criteria was used to make the statement that their property values would be improved.

Response: Discussions with realtors and developers of properties suggest that properties that have water and sewer connections to utilities/sanitary districts have a higher value than those that are connected to wells and septic tanks, especially in regions where percolation of field lines have been troublesome.  Fifteen percent of US households (47.8 MM people) have private wells.  Most private wells are located in rural areas or areas serving the most impoverished communities.

Elbin Bunnell was the next person to address the Board and discussed that after his septic had failed during a Montgomery County inspection that he’d begged Handy to hook him up to the sewer but was told we weren’t hooking up in his area at that time.  He also discussed that he could not afford the monthly cost and that he may be forced to sell his property.

Response:  Obviously construction of a complex system around the lake does not finish on the same date.  Mr. Bunnell’s property did not have sewer ready when his system failed.  The sewer is now ready in all parts of the designated area.  But this property is an example of why there was a need for the sewer system.    

Dan Caudle was the next person to address the Board and expressed his dissatisfaction with the comments regarding the former leadership.  He also discussed that most people purchased sewer taps as an ‘insurance’ policy in case something was to happen to their septic system.

Response:  The presentation at the Town Hall Meeting was not a series of accusations against anyone.  Several reasons were provided why the project has taken longer than expected.  While some people may have been buying a sewer tap as an “insurance policy”, it is an interesting comment from Mr. Caudle.  Mr. Caudle has suggested that septic tank failures were never the reason to build this sewer system.  If there were no failures why would someone need an insurance policy?  Also as a member and Chairman of the Handy Board of Supervisors, he would have known that the State expected Mandatory Connection since the State made the initial grant of monies for construction in 2006. 

Marjorie Olsen was the next person to address the Board and informed Darrell Hinnant that she didn’t think he was in touch with the community when using the value of a home to determine customers’ ability to pay.  She discussed that the $58 monthly fee was too high and that she’d had trouble finding an electrician and a plumber to connect her home to the sewer system.

Response:  Staff has said that determining the values of properties was not the only or best way to determine someone’s ability to pay the water/sewer bill.  But it is a way to begin to assess the ability to pay.  Handy has said repeatedly that it would prefer the lowest sewer rate that would allow financial viability.  In our 10-yr plan we have reviewed the revenues/costs and we believe that connections are the key to keeping or lowering the rate.  It is also important to note that sewer rates in other communities are likely to be lower if they are much larger systems where fixed costs can be spread over more connections or the system is much older where costs for construction have been spread over decades instead of a few years.  We have a list of trained plumbers/electricians to connect homes to the system.

Harry Fisher was the next person to address the Board and inquired as to what back up does Handy/customers have in the event of an extended power outage.  He also discussed the Board’s attorney decisions.  He informed the Board that the District may get civil judgments against people but that no judge in Montgomery County would force connections to the sewer system.

Response:  Handy pump stations do have back up power for short term operation.  Handy does have several portable generators that could be used to empty tanks at houses. Individual houses would need to be judicious about the use of water and sewer during the outage.  But that is no different than the recent impositions caused by power outages when Duke Energy had more than 10,000 outages in the Charlotte area because of toppled trees damaging power lines.  Handy has confidence that Judges apply the law daily.  There is no reason to believe that they would not follow the law regarding Mandatory Connections.

Wayne Pullium was the next person to address the Board and discussed the District’s financial position and his disinterest in being part of the sewer system.

Response:  In the 10-yr plan we said that there were 3 variables that could affect our ability to maintain the $58 rate.  Connections to the system, lawsuits and catastrophic failures could affect the rate positively or negatively.

Wayne Myers was the next person to address the Board and discussed that people couldn’t afford the system.

Response:  Handy is required by the State to prepare and operate under a balanced budget.  Each year our financial records are audited by an Independent Auditor.  It is only rumor that Handy has operated “in the red”.  We cannot “chuck the whole deal”; it is operating well for 418 connections in the project and 983 at Badin Shores and 309 at Uwharrie Point.  Our calculations show that a very large majority of people can afford the sewer system.  We are working on methods to assist those who might find it a burden.

Joe Salmons was the next person to address the Board and discussed that Badin Shores Resort was already paying the $58 sewer fee and that he appreciated the District having the meeting.

Response:  Thanks to Mr. Salmons for a positive response.  In reality Handy gets lots of positive responses and some negative ones.  Handy has a hard-working staff that serves the community well. 

Kathy Kiser was the next person to address the Board and discussed that she had to put off building her home for two years while waiting on the sewer system since she couldn’t get a septic permit.  She also inquired as to how the District will force people to tap onto the system.

Response:  The system around the lake is complex and all parts of the construction did not finish at the same time.  I am unsure when Ms. Martin would have told anyone that Handy did not have authority to make Mandatory Connections.  Cities and Counties have had the authority for decades and it has been clear since 2006 that sanitary district have had the authority.  Our “triggers” have been described when Mandatory Connections will start.

Paul Pogorzelski was the next person to address the Board and he asked the audience how many were happy the sewer system was coming and how many were happy with the way the project had been managed.

Response:  Many people have stated their concern for the length of time it took to complete the project and Handy agrees with that.  But we know that 1067 sewer taps were paid to indicate an intent to construct and operate a sewer system.  It appears that after the monies have been borrowed and construction has been completed that many want to back out of their commitment. 

Elaine Penny addressed the Board again, inquiring as to who governs the District and when the State of North Carolina was going to take over.

Response:  Handy Sanitary District is governed by the 5-member elected Board of Supervisors.  NC Department of Environment and Natural Resources regulate its operation.  The Local Government Commission controls its financial authority.

JoAnn Saunders addressed the Board again and discussed that when the tank was put in, the contractors damaged her cement driveway.  She inquired as to when it would be fixed.

Response:  I will meet with Ms Saunders to determine the damage.