From Harford Campaign for Liberty:
Friends,
Harford County politicians gave themselves a big pat on the back for repealing the Rain Tax…but later voted unanimously to give us higher water bills! This bait and switch behavior of local politicians who posture as fiscal conservatives then raise water bills is unacceptable.
The average Harford County family depending upon its local government for water and sewer services was paying roughly $135 every three months. But this June, the average quarterly bill increased by $42, or about $177 a year. Friends, that’s an annual increase of 31.2%. This may seem minuscule to our local lawmakers. For families already struggling to make ends meet, or retirees on a fixed budget, however, this is a painful blow.
But it gets worse. Your all-Republican County Council not only passed one rate hike, they passed 5 YEARS OF CONSECUTIVE HIKES.
In fiscal year 2017, expect your bill to shoot up another $15 a quarter, and a whopping $43 a quarter in FY 2018. By the time all the increases are in effect, you’ll be paying an estimated $252 a quarter. That’s over a thousand dollars a year, for a vital service you can’t shop.
By FY 2020, your water and sewer bill will have gone up over 86%, and the Harford County government will have collected an additional $23 million from hardworking taxpayers.
Not even the liberal bastion Baltimore City passes these types of increases – Baltimore’s new water rates are increasing just 33% over three years.
Your elected officials ran on a promise of fiscally responsible principles, including keeping Harford County taxes low and affordable, and eliminating the Rain Tax. Now, instead of looking for ways to lower our local costs, they’ve chosen the Martin O’Malley Method – Raise unavoidable “fees” and hope the voters are too busy to notice.
Please, join us in telling these politicians that we’ve noticed, and we’re angry.
Sign the Petition by clicking here, and share this message with your fellow Harford County residents.
With your support, we can pressure county politicians to spare us the water bill abuse and cut wasteful government spending instead. Each of these elected officials ran on a promise to represent YOU in Harford County with conservative and fiscally responsible principles. Sign the petition, and demand that they live up to that promise. Demand these water bill increases be immediately repealed.
For Liberty,
Bob Willick
State Coordinator
Maryland Campaign for Liberty
Show these greedy politicians who is really in control.
Stop using your water.
Typical C4L Give me more stuff for free.
The average bill for water and sewer combined in Harford county will be $47.26 per month.
For perspective Bob Willick how much do you pay per month for internet/ TV service? How about for your phone? I’m guessing those bills are much more yet you could survive fine without either. Can you live without water?
I suppose it’s not the relative value that is in question, but rather the significance of the increase. Like most people with tight budgets, I about fell over when I saw the most recent bill. Plus i would rather be billed monthly, easier to budget (for me) when cash outflows are constant. Coming up with $180 extra every 3 months seems more difficult.
An extra $180? the bill only went up by $42 every 3 months
The average Harford County family depending upon its local government for water and sewer services was paying roughly $135 every three months. But this June, the average quarterly bill increased by $42, or about $177 a year
The fact that entire county council decided this was okay with those that pay water & sewer bills, leads me to think what else will they think consider okay with taxpayers to increase?
They decided it was ok because there was a $15.7 million revenue shortfall last year. God bless you in wanting to give people stuff for free but please do it with your money and not mine.
You really have to admire campaign for libertys attempt to lie.
They claim
Not even the liberal bastion Baltimore City passes these types of increases – Baltimore’s new water rates are increasing just 33% over three years.
But they never actually quote any numbers.
So what is an average baltimore city bill?
Minimum wage is going to be $15 per hour,it’s all gonna work out at the end of the day. Lmao!!!
Lies because the substantiating details are not provided? Has anybody seen the Black and Veatch report that substantiates the rate increases? Perhaps that could be made available to the public, now. It certainly was not provided prior to the public hearing.
15.7 million dollar revenue shortfall? Please identify the document where that figure might be located.
THNX
John P. Mallamo
15.7 was reported in a Baltimore Sun article from a few days ago.
Quote
According to county financial reports, water and sewer operations have posted average losses of about $14 million annually since the 2010 fiscal year, ranging from a high of almost $19.3 million in Fiscal 2013 to a low of almost $10.4 million in Fiscal 2011.
The unaudited loss for the most recent full fiscal year, 2015, which ended June 30, was $15.7 million. It cost approximately $44.3 million to operate the system in FY 2015, a figure that includes $11.4 million in depreciation of the facilities. Total revenue was just $28.6 million.
I would link to it but the Dagger will moderate the post.
Goggle is your friend.
Any thing else you require?
Thank you for your reply.
It would appear that although you quote a reputable source, there are some nuances of finance and accounting that were oversimplified in the article you cite. First it would be beneficial to determine whether depreciation is a charge against capital assets, or a cost against operating expenses, paid from current revenues. If it is a cost who gets paid?
The water and sewer fund has been operating at a loss for some years. My guess is that it was more a business practice, than a chronic underfunding. It is most curious that the County Council, in all the years that the fund operated at a loss, never required a change to the practice, nor questioned why or how it occurred.
I would recommend that you review the County’s financial documents, both the budget and the annual report to determine what is really happening with County finances, and not just quote from an article. The 15.7 million dollar loss may not be quite that bad.
Finally, I have not read the article you cite, perhaps you could provide the date it was published.
THNX
John P. Mallamo
What part of this do you not understand?
It cost approximately $44.3 million to operate the system in FY 2015, a figure that includes $11.4 million in depreciation of the facilities. Total revenue was just $28.6 million.
Mr., Mrs., Miss, Ms Henry
Sir, Ma’am
Perhaps a different approach.
The county took in 28.6 million dollars from user fees, grants etc as revenue in the Water and Sewer fund. Operating cost, cost to operate the Water and Sewer fund was 44.3 million dollars. 11.4 million dollars was taken as a charge against the value of the capital assets in depreciation.
If you are suggesting that the 11.4 million dollar depreciation charge was an actual cost, paid out of revenues, then the County would be paying debt service for the assets it has, and also be accumulating funds in a sinking account for depreciation. Please do tell where those 11.4 million dollars is located.
I submit that you should subtract the charge for depreciation from the operating cost to get a more accurate estimate of the operating loss sustained by the Water and Sewer fund. That would mean that the operating loss, real dollars, is not 15.7 million dollars.
Please do read the County’s financial documents for a better understanding or how the Water and Sewer fund operates.
THNX
John P. Mallamo
I don’t care what you do with the depreciation or how it is accounted for. There is a revenue shortfall, everyone says you are a nit picking out of touch ass hole who relishes in a miserable life of complaining about things you do not understand.
Never change.
henry,
I believe what John is pointing out is the 11.4 million is not a real loss against operating costs. That’s why he is asking where the 11.4 million actually ended up. If the county has placed that depreciation money into a capital asset replacement fund (reserve) then the 11.4 million is not money actually lost to the county.
It doesn’t matter where the depreciation wound up. No matter how you look at it less money came in then it cost.
Try not to pull a mallamo convoluted redirection mess.
Mr., Mrs., Miss, Ms., Henry
Let’s conclude.
1. The Water and Sewer Fund will always operate at a loss as long as depreciation is included in the accounting. Depreciation will increase as the value of capital assets increases, and decrease as their value declines. The line to look at is the net position to determine how their value varies.
2. Every year the County Administration produces a budget, and the County Council passes it. Every Year the County administration publishes an annual report on the performance of the previous year’s budget. For a number of years the Water and Sewer Fund reported an actual loss. Neither the administration nor the Council was particularly concerned about this fact. Additionally, the operating loss was not cumulative, that is it did not continue to accumulate year over year, it was paid off annually. Costs in the Water and Sewer fund have been fairly constant. A logical conclusion would be that operating at a loss every year was a business practice, a deliberate action, pursued by the previous administration and approved by the County Council.
3. There is no document available to the public to justify the magnitude of the increase proposed by County Executive Glassman, and approved by the County Council. Whether there is a requirement to raise rates is questionable. How much to raise them is debatable.
I would recommend that you and every other resident familiarize yourselves with the County’s financial documents to determine for yourselves what is going on. Depending on an article in the Baltimore Sun, that uses County personnel for research and analysis will not provide a clear insight into the situation. Do your own research and analysis. In this situation pay particular attention to the PAYGO line in the budget. You may be able to see how the operating loss is generated
Please do say hello to “everyone” for me. Give them my best regard.
THNX
John P. Mallamo
We can conclude you are an idiot who has no clue why there is depreciation and how it is necessary for any infrastructure intensive public service.
We may also conclude that your imagination runs wild on things you do not fully understand and make up wild accusations based on no facts to bolster your nutty conspiracy theories.
Never change we need a baseline for crazy around here.
Sir, Ma’am
You either read Harford County’s financial documents and now realize the flaws in your discussion. Or you did not read them and are depending on everyone for the research and analysis in your last post.
Regardless, I am interested in your concept of depreciation and how it would apply in the Water and Sewer fund. Please if you would provide an explanation.
Rest assured that County Executive Glassman is depending on you to take the analysis of others, rather than doing your own research and analysis to further his agenda. Hopefully others, who expect effective government, good governance and efficient operations, are more willing to do their own.
THNX
John P. Mallamo
John
You have admitted there is a short fall with statements like this
” Neither the administration nor the Council was particularly concerned about this fact. Additionally, the operating loss was not cumulative, that is it did not continue to accumulate year over year, it was paid off annually. Costs in the Water and Sewer fund have been fairly constant. A logical conclusion would be that operating at a loss every year was a business practice, a deliberate action, pursued by the previous administration and approved by the County Council.”
You now think you have the secret to depreciation of government assets that no one else understands but the reality is you are clueless why it is done. Ge John even C4L and it’s members haven’t bothered to step in the steaming pile of crap they produced.
Have a miserable life John you deserve it. I’m done with your dumb ass.
Mr., Mrs., Miss, Ms Henry
Sir, Ma’am
Does that mean you have no explanation of depreciation to offer? Nor an explanation of budgetary processes that depended on operating losses to balance the budget?
Thank you for your intelligent contributions to this conversation.
THNX
John P. Mallamo
Why don’t you explain it Mr Mallmo you seem to be eluding to knowing something everyone else does not.
Your rhetoric does get old here.
Paging mr Mallamo…. care to answer the question?
Bottom line is we are paying 1991 rates 25 years later. The cost has increased but not what we pay for it. It is being phased in over 5 years. I feel sorry for those on fixed incomes but being on a fixed income they will have to do what they do when other costs go up.
I own a business and it is hard enough to keep it going. Everything going up but our wages. Delta with construction for 7 months and have cut everything we can. Now to increase our water prices for the next 5 years! We chose Harford County over Cecil County to do our business due to many factors. 1 being utility prices.
I own homes in both counties and a farm in Cecil. Cecil is cheaper hands down.
tl;dr – In 5 years, your water bill is going to double from whatever it is now. 60% of costs are because the county has not charged enough for water/sewer costs in the past and are fixing that. 40% is to fund the federally mandated work to clean up the bay that the county is still responsible to satisfy despite the repeal of the rain tax. If you throw a temper-tantrums about such things please join the campaign for liberty for their next group therapy session.
Typical government run bullshit! No body keeps watch on how departments spend money. Nobody audits the departments until the shit hits the fan! And then they throw their hands up and scream for more money. The rates should have been higher a long time ago, so they could cover infrastructure improvements and added costs. It is very typical of bureaucracy. They run every thing in to the ground and then panic. It is very evident that the council, the county executives past and present and the managers are incompetent.
” Each of these elected officials ran on a promise to represent YOU in Harford County with conservative and fiscally responsible principles. ”
Apparently Bob Willick doesn’t think paying for services you get is fiscally responsible. I’t no wonder under every republican this country goes more in debt.
Things get more expensive. Live with it. If you don’t like it, cut your water line and dig a well and put in a septic system. If you can’t afford it and don’t like it? Move. Good riddance.