A resolution requesting the Detroit Water Board and Detroit City Council place a moratorium on water and sewer rate increases for fiscal year 2004-05 was unanimously approved by the Oxford Village Council Tuesday night.
Approval of the resolution was requested by Oakland County Drain Commissioner John McCulloch in a Jan. 12 letter to the village.
“As you are aware, for the past three years we have been dealing with the frustration of increasing water and sewer rates,” McCulloch wrote. “That’s why I believe a moratorium on rate increases is appropriate. A moratorium not only provides immediate relief, but ensures that a resolution will be sought expeditiously. In short, a moratorium on rate hikes is a ‘win-win’ situation.”
“You may be aware that some months ago, I retained the services of a consultant who concluded that there have been significant overcharges to some water and sewer customers. A moratorium also encourages progress in the rate formulation process that includes meaningful input from customers,” McCulloch wrote.
McCulloch urged council to “act quickly” on the resolution because the Detroit Water Board will hold a public hearing on the issue at 9:30 a.m. Jan. 28 and the Detroit City Council will hold a public hearing at it’s 4 p.m. Feb. 5 meeting.
McCulloch sent a followup letter to the village dated Jan. 21 which noted that the Detroit water and sewer rates for fiscal year 2004-05 “are reported to be less than originally anticipated for most Oakland County communities.”
“It is a step in the right direction, but should not dissuade us from our quest for full disclosure on how DWSD came up with these new numbers,” McCulloch wrote. “Recognizing that some other communities served by this regional system saw substantially higher rate increases – up to a proposed double-digit water rate increase of 45 percent – we should not be lulled into a false sense of security. Further, there is no guarantee that Oakland County will be so fortunate next year, or in any subsequent year, until we have full disclosure.”
Village Manager Mark Slown recommended council consider supporting the resolution sent by McCulloch.
“The village had to increase our local sewer rate $4.59 (per month) this year in part due to increases in the rate from Detroit,” Slown noted in a memo to council.
Slown also suggested council may want to investigate working with other communities in northern Oakland County or Oxford Township to establish a local sewage treatment plant and end the dependency on Detroit for the service.
“Just something to think about,” the manager said.
Village President Steve Allen said the concept of a local sewage treatment plant is “definitely worth exploring for the future.” Allen noted the situtation with Detroit is “not going to get any better” as the rates will only continue to increase.