BACKGROUND:

In less than 3 years, the Public Utilities Commission of Ohio (PUCO) has approved two significant Ohio American Water Company (OAW) rate increases:

·         March 2007: 14% (water), 5% (sewer)

·         November 2008: 30% (water) and 37% (sewer)

Yet in June of 2009, OAW applied to the PUCO  to increase its rates once again. If approved, this would result in a 60% revenue increase phased in over 4 years via annual step increases - an approximate increase of 240% in water and 300% in sewer rates since 1999.

In response to OAW’s proposal, the Perry Township Board of Trustees submitted a Letter of Objection to the Public Utilities Commission of Ohio (PUCO) and Ohio Consumer’s Counsel (OCC) on behalf of the Worthington Hills community in June, 2009. A formal resolution opposing the rate increases was passed a few months later whereby the Board stated that it believed that the “requested increases are unfair, excessive and incapable of justification” (Res. No. 234-09).

PUCO staff recently issued a report concerning the matter on November 27, 2009. This included a recommendation of a reduced rate increase of 5.9% to 7.3% revenue increase over current revenues. Further, the staff urged the Commission to deny OAW’s request to phase in additional rate increases each year through 2012. According to the document, the “Staff concluded that Ohio American Water needs to change its business model to better control costs and to better reflect economic conditions in the market it serves."

During the January 4, 2010 Regular Session, the Board met with Richard Oxender (Oxender and Associates) a long-time Worthington Hills resident and local lobbyist. Over the next few months Mr. Oxender will donate his time and over 40-years of expertise representing the Board and its residents before the Ohio legislature.

The Board has taken the position that the Public Utilities Commission of Ohio (PUCO) should reject the proposed water and sewer rate increases. Mr. Oxender will ensure that this important message is communicated clearly to the Ohio General Assembly. The Board is also working closely with Mr. Oxender to attempt the passage of important legislation that would protect residents from any future excessive rate proposals and/or increases.

It is our goal to inform our residents of issues that directly impact their families and our community.  This web page has been established for that very purpose and we will provide updates as information is received.  Please click on any or all of the links provided to learn more.

Thank you.

Sincerely,

James Roper; JRoper@perrytwp.org

Chet Chaney; Cchaney@perrytwp.org

Andrew English, AEnglish@perrytwp.org

Perry Township Board of Trustees

7125 Sawmill Road; Dublin, OH 43016

(614) 889-2669; (614) 889-5071 (fax)