Saturday, November 20, 2021

Some People Can’t See the Good

 

         

Dear Editor,

             The Daily Courier published an article 11-17-2021, “IV Water District makes plea for state help," regarding the problems caused by illegal pot growing operations disguised as hemp farms.  One of the complaints in the article is that some of these farms are buying bulk water from Cave Junction's station.  Some people just don't know a good thing when they see it.

            City bulk water is legal to buy for all uses.  Cave Junction’s bulk rates are $30/1000 gallons.  Ratepayers of Cave Junction pay a top-tier rate of $2.05/100 cubic feet, or $2.74/1000g, for water delivered to their taps by pipelines. 

Everyone who buys bulk water at $30/1000g is paying some of the overhead that city ratepayers are not paying as they cut back on irrigation and other water use to pay high unit rates.  Bulk water users keep ratepayers’ unit and base rates from climbing still higher to pay the overhead, the monthly cost of having a water system, as they keep cutting back on use. 

This is what modern city rate systems do, rationing water by price, with a base rate too low to cover the overhead and high unit rates to discourage use.  But the City thereby depends on high unit rates to cover the overhead, which leaves it always chasing the overhead.  

Businesses can’t survive this way.  But water and sewer plants can; they are natural monopolies.  But they don’t have to; the Council could set base rates to cover all overhead and stop rationing water by rates.

 

Sincerely,

 

Rycke Brown

No comments:

Post a Comment

Please feel free to comment.