Nevada County Picayune and Gurdon Times Newspaper Archive

Residents Want More Info

There will likely be no challenge to the Emmet Water Project.

A town meeting was held Sunday, July 26, to address the issue as a petition had been turned in to the Emmet City Council at its regular meeting July 16 concerning the project.

This petition as also sent to Congressman Jay Dickey's office in Washington, D.C., prompting a call to Emmet Mayor Ottis "Chuck" Otwell.

But, for two hours Sunday afternoon, about three dozen Emmet residents voiced their opinions on the water project and subsequent increase in their water bills.

The main complaints were about not being better informed about the project and the startling jump in the water rates. The water rates went from $5 for the first 1,000 gallons used to $9. This rate was established by the Rural Development Agency (RDA) as being the lowest the city could get and be able to repay the loan for the water project.

At the beginning of the meeting, Otwell explained how the city went about getting the money for the new water system.

The existing system, he said, is more than 36 years old and the average life of galvanized pipe is 30 years.

Because of the deterioration of the pipe, he said, the city can't properly maintain the streets. In fact, he told the audience, when leaks are patched, the line tends to blow out at another location.

Two years ago, the Emmet City Council agreed to check into getting money for a new water system. An engineer was contacted to do a feasibility study and see if the city could afford to do the project.

The engineer used maps and did a cost study to make preliminary plans for a new water system. The study included upgrading the pipe from the existing one-inch, inch-and-a-half and two-inch pipe now being used.

These plans also included more fire protection for the people of the city.

According to the findings, the engineer's report showed the project could be done for $828,000. The council applied for grant money with an income study then done to help determine how much the federal government would give for the project and how much the city would then have to borrow.

This study showed Emmet qualified for a grant of 55 percent of the project amount, and would have to borrow the remaining 45 percent, or $372,600. The rate was figured on the number of customers on the system at the time, water being used and mean income of the city residents.

Otwell said when he took office in 1991, he was told the city needed to raise the water rates. However, this wasn't done because of the large number of elderly people on fixed incomes living in Emmet. He said the money coming in at the time was sufficient to continue operating the system and no rate increase was implemented.

In 1996, he said, the RDA again said the city needed to raise the rates, and would have to if it ever tried to float a bond issue. Still, the city held off on raising water rates, and operated the water department close to the vest.

But, he informed those gathered, when the council decide to upgrade the current system, the RDA gave the city no choice but to raise the rates.

A public meeting was held on the water project issue, but few residents showed up. Those who did didn't want an increase in their water rates.

Bids were recently opened for the project and came in lower than expected. In fact, the low bid, from Underground Utilities of Crossett, was $578,262. The high bid was more than $800,000, with the rest falling between these figures.

The engineer has confirmed the bid as being legitimate, but the lending agencies will now have to go over the bid and confirm it as well before work on the project can begin.

With the money expected to be left over, Otwell said, the city plans to drill a second well as a backup. A new three-phase generator was also figured into the budget for the overall project. The generator will be on a trailer so it can be moved in case of an emergency. In times of power failures, the well, city hall and the fire department will have electricity.

Otwell explained if Emmet continues to grow and more people get on the water system, the rates could then be lowered by the lending agencies.

He also said a vote could be held to stop the project, but if this happened the city would probably never get any money from the federal government again, and it would cost the city about $100,000 in engineering and other costs if the project were stopped now.

Should the city not use all the money allotted for the project, what is returned would be deducted from the grant given by the government, and not the loan, so the rates would not be lowered. However, Otwell said the city will spend all the money from the grants and loan on water-related projects.

The money can only be used for such matters by law. The lending agencies have agreed if there is sufficient money left over it could be used to drill a second well and tie it into the project.

George Clary complained about being "run down" because of allegedly taking back a well offered to the city. He said he did not give the land to Emmet, but did say the city could use a well on his property for city use, but the city never did. "I never backed up," he said. "The council was supposed to meet on it, but didn't. I asked a councilman to visit me and he didn't. The offer still stands. I'm just here to clear the air."

He also asked how much money the city took in from current water bills and how this money was used.

Otwell said the water department has a separate budget it operates from, and this money can only be used for water-related work. He was unable to give specific numbers on how many current users were on the system and how much revenue it generated monthly.

Clary said there should be quite a bit in reserve as no major construction has been done.

Otwell informed him it is expensive to operate a water department, and repairs have been made to the existing system. He told the audience six leaks were recently repaired on Highway 299, but the line blew out further down because it couldn't handle the pressure.

Clary again stated he wanted to clear the air about his part in the "second well".

Otwell told him if anything had been done wrong he would apologize. However, he said, the situation has been handled and the city got the lowest interest rate it could for the new system.

When questioned as to why the new rate went into effect before construction on the project began, Otwell said this was required by the RDA and government. The new rate, he said, had to be in place before they would complete the loan. As it was, the city was a month late in getting the new rates billed out.

Complaints were then made about the new rates not being printed on the water bills as they used to be.

City Secretary/Treasurer Anita Allen ex