Privatization bid doesn’t hold water, says Partin

Posted on Wednesday, December 21, 2011 at 2:18 pm

By Rebecca J. Barnabi/Reporter

MILFORD – It does not appear a proposal to privatize operation and maintenance of Caroline County’ water and sewer utilities is going anywhere.

Interim County Administrator Alan Partin told the Board of Supervisors that he reviewed the proposal by American States Utility Service, whose representatives spoke to the board in November about their company’s proposal.

It is more cost effective for the county to have its own utilities staff and provide the services itself, Partin told the supervisors at their regular meeting on Tuesday of last week.

“Out analysis is it make sense,” said Partin, for the county to continue to operate the utilities.

Outgoing Supervisor Bobby Popowicz wanted the board to discuss the privatization initiative in closed session, but Supervisors Reggie Underwood, Jeff Sili, and Wayne Acors were not in favor of pursuing privatization based on the county staff’s analysis.

In other business, the board agreed to upgrade a generator that will be purchased in connection with an expansion to the county’s wastewater treatment plant.

State regulations require a back-up power source for wastewater treatment plants in case of a power failure. Currently, the county relies on the Rappahannock Electric Cooperative Kings Dominion substation for back-up power. However, the budget for the wastewater treatment plant expansion project, which is under way, includes $400,000 for a generator for back-up power for the expanded portion of the plant.

Additionally, county staff discussions with REC revealed that the wastewater treatment plant lacks an adequate transfer switch to prevent the primary and secondary power sources from accidentally interconnecting and causing a potentially fatal electrical arc or explosion.

The county was presented with three options to correct both issues: pay for necessary upgrades to the Kings Dominion substation, purchase the generator and new transfer switch, or pay an additional one-time only cost for upgrading the generator while eliminating the need to replace the transfer switch or upgrade the substation at Kings Dominion.

County staff recommended the third option, which would cost the county an additional $221,000.

Acors asked about the life expectancy of generators, and interim Utilities Director Joseph Schiebel said they typically are 25 years. Acors questioned whether the second option was better for the county. Under the second option, the county would pay $400,000 for a generator, an estimated $50,000 for a new transfer switch, and a monthly fee of $720.

Board chairman Floyd Thomas asked whether the second or third option was more cost effective, and county Finance Director Fran Hatcher said the third option, and the supervisors voted to pursue it. The generator will be purchased with unused funds from the project to extend public water service to the Caroline Pines subdivision, according to Thomas.

The supervisors renewed their discussion of creating a service district for Caroline Pines. Partin recommended the supervisors move forward, and the board advanced the creation of the district to a public hearing at a future meeting. Creation of the service district will protect other county residents, noted Underwood.

Underwood said that he will be coming to the board in the future with a proposal to consolidate some operations of county government in order to save money, a point that was discussed in a joint meeting with the School Board in November. The county does not need operate separate maintenance departments or garages, he noted. Combining some services would save taxpayers money, said Underwood.

Acors asked Partin to arrange another joint meeting with the School Board, a session that has been set for Jan. 5.

“I just think it’s important that we look at the big picture as far as the schools are concerned,” said Acors. He suggested school officials were making “Band-Aid repairs” to school facilities. If the county needs a new high school, for example, then the board should discuss it, he said, but the county cannot afford to continue construct new school facilities and discard old buildings.

Acors said that “Band-Aid repairs” will not serve the children of Caroline in the long run, and that’s what the current board has lacked, refusing to put the supervisors against the School Board. The county board, according to Acors, is trying to look at what is best for the children and people of the county.

The School Board recently adopted a revised 10-year capital improvement plan. The top three projects are the Bowling Green School project (expanding and renovating Bowling Green Primary School), an addition and improvements to Caroline High School, and improvements to Madison Elementary School. Those three projects alone will cost nearly $38 million.

The board also recognized Popowicz, who did not seek re-election and whose term expires at year’s end.

“You did a fine job on many projects you’ve done,” Thomas told him, and Acors joined Thomas in thanking Popowicz for his service while acknowledging they had differences at times.

“It’s been a pleasure working with each of you,” said Popowicz. He thanked the residents of the Port Royal District as well as particular county staff and officials, including Partin, Hatcher, Schiebel, administrative assistant Pam Hall, and county attorney Ben Emerson.

Popowicz singled out planning & community development director Mike Finchum and economic development & tourism director Gary Wilson. “I think you guys are going to do fantastic things for Caroline,” he said.

In other action, the board:

• Was briefed on the upcoming General Assembly session and possible implications of the state budget by Eldon James, a consultant who serves as a legislative liaison for the Virginia Association of Counties.

• Voted to reduce the speed limit on part of Ladysmith Road.

• Voted to refund a $600 fee paid by Karen Lambert for an appeal to the county’s Board of Zoning Appeals regarding noise at the State Fair of Virginia.

The board’s next regular meeting will be Jan. 10, when it will elect a chairman and vice chairman for the year. In addition, in January the board will have six seats with the creation earlier this year of the new Western Caroline District. The seat will be held by Jeff Black, who won election in November.

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