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Liberty left boiling over Girard’s water rates

Sen. O’Brien, chamber offer their support

LIBERTY — Should one neighborhood pay more than double the water rate its neighbors pay?

More than 162 residents of Liberty Township who signed a petition, state Sen. Sean O’Brien and the head of the Youngstown Warren Regional Chamber don’t think so.

While Trumbull County water customers pay $8.22 per thousand gallons used, about 1,500 people in Liberty who buy their water from Girard have to pay $17.35 per thousand gallons used.

“This is a clear impediment to commercial growth in this area,” states James Dignan, CEO and president of the chamber. “And, it can easily be remedied in May 2020, when the current water agreement with Girard expires.”

Dignan and O’Brien, D-Bazetta, wrote letters to Trumbull County commissioners Mauro Cantalamessa, Frank Fuda and Dan Polivka. Liberty Trustee Jodi Stoyak delivered the letters to the commissioners Tuesday, along with a stack of petitions signed by township residents, more than 160 of them.

The lines Girard uses to bring water to people in Liberty are owned by the Trumbull County commissioners. An agreement between the city and county allows Girard to use the lines to bring water to the township, but that is to expire in May.

“In May 2020, when the current water agreement with Girard expires, I encourage you to change the water supplier in this area to Trumbull County, so that my constituents in Liberty Township may take advantage of paying the Trumbull County water rate,” O’Brien states in the letter.

Development in the area is dependent on competitive pricing for businesses and their employees, the letter states.

“Robust economic development in our Valley is tied to a number of critical factors. These factors include available human capital and the infrastructure to support such development. Infrastructure needs include available land, roads and utilities with competitively priced electricity, natural gas, sewer and water service,” O’Brien states.

“Fortunately, our Valley is improving in all of the above areas,” Dignan adds. “What we lack is comprehensive, area-wide sewer and water management districts. Our current paradigm includes a patchwork of county, city and village maintained systems, little to no comprehensive area-wide capital plan and districts too small to enjoy sufficient economies of scale. This must change if we want to continue to grow our community.”

Stoyak said the water rates amount to a “noose” around the township’s neck when it comes to economic development, and said the mayor of Girard refuses to negotiate.

Although Girard Mayor James Melfi did not return messages seeking comment, in the past he said the way the city charges the Liberty customers for water is perfectly legal — when Girard sells water to entities outside the city, it is able to tack on a fee up to 40 percent the rate its own users pay.

State law allows a 40 percent surcharge any time an entity sells water outside its limits, so the charges can be stacked if the water travels through multiple sources.

Water is shuffled through pipes owned by numerous other entities, each tacking on a surcharge, leaving the residents of Liberty to pay some of the highest rates in the county and state.

Girard buys its water from outside sources that upcharge the city too. Its residents pay $12.39 per thousand gallons used.

When Girard bought water in 2018 from Trumbull County, Niles, Youngstown and McDonald, the city paid an average bulk rate of $4.74 per thousand of gallons, according to data Stoyak provided, based on the results of record requests from the water suppliers.

That amounts to an immense mark up at $17.35 per thousand gallons when it gets to Liberty, Stoyak said — a “cash cow” for Girard.

O’Brien, Dignan and the people who signed the petitions believe the commissioners should take action by May to take over the lines so new rates can be calculated. If the county were to take over the lines, the new county customers could be asked to pay a capital charge along with a monthly rate in order to pay for any expenses of acquiring or improving the lines.

But it isn’t that simple, because Girard has invested money in the lines over the years and Melfi has indicated in the past he has no interest in agreeing to a deal transferring the lines to the county or lowering rates.

Rates for the Liberty residents supplied by Girard have risen 53 percent between 2014 and 2018, while rates for customers in Girard rose 13.5 percent in the same time period, according to information provided by Stoyak.

Melfi has argued in the past his responsibility is to the people of Girard and he won’t make any moves that will increase their costs, while lowering them for others outside the city.

Commissioners said they are waiting for a presentation by the Trumbull County Sanitary Engineer’s Department to determine what the board’s options are, but there is fear that an agreement with Girard for the treatment of some county sewage flow, due to be renegotiated before December 2020, could be negatively impacted by any decisions made about water.

Trumbull County Engineer Randy Smith said there are a few options; meetings to lower the bulk rates for all entities buying water in the area, the county could take over the system, the status quo could be maintained or a true regional system could be implemented.

Smith said he is waiting for more direction from the commissioners before he moves on any changes.

There are legal questions to consider, Smith said.

“The county owns the lines, while Girard operates and maintains the lines. If the county took over the lines, there would be some challenges from a pressure standpoint so that we may need to modify the system with valves. And, Girard paid for some line extensions and has money invested in the system as a whole. I don’t know if they would simply walk away. With the converse opinions and challenges, it could end up being a lengthy and expensive legal process we’d prefer to avoid,” Smith said.

rfox@tribtoday.com

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