Does United Water New Rochelle deserve to get a rate increase of 
54%? Everyone who spoke at the Public Service Commission hearing before Administrative Law Judge Eleanor Stein on August 2, 2010 at New Rochelle City Hall did not think so. New York State Senator Jeff Klein was unhappy with the proposed increase as were many residents. Byron Gray, President of Local 273 New Rochelle Firefighters, was disturbed about the threatened decrease in the number of hydrants caused by the increased cost factors and the prospect of laying off 10 to 12 New Rochelle firefighters. New Rochelle City Manager Chuck Strome expressed concern that the non-profits in the City, e.g., The College of New Rochelle, Iona College, and Sound Shore Medical Center, benefit from the hydrants but do not pay for the service. According to people from various neighborhoods throughout the City, United Water is not supplying a sufficient amount of water pressure.
Residents agree on the need for an education campaign about how much water is needed for new developments, such as for the proposed Iona Dormitory There have not been sufficient efforts to determine why high rise buildings which have been in existence for many years, are now being told to put in pumps so the water pressure will be sufficient to reach the upper floors. United Water New Rochelle apparently lowered their unlimited water pressure to “acceptable” pressure levels which are far from adequate, especially in buildings with many floors.
A four year rate increase is proposed from November 2010 to October 2014. United Water New Rochelle states, “increased expenses” in these areas: “taxes, purchased water, power and chemicals, general operating expenses including staffing increases, and employer-related expenses such as medical benefits and pension costs. Capital investment of $70 million in the Delaware Interconnection Project, was also a factor. By levelization figures provided for a base rate increase in four years of over $22 million that consumers will pay a four year base rate increase totaling over 69%. Some lower rates are also proposed. United Water wants to retain an equity return of up to ll%. They claim they will share any higher profits with rate payers.
Residents feel that the rate increase is not justified. Everyone should know that comments can still be made to the Public Service Commission Secretary, Jaclyn A. Brilling, NYS Public Service Commission, Three Empire State Plaza, Albany, New York 12223-1350 or electronically at secretary@dps.state.ny.us. Refer to “Case 09-W-0824.” Telephone 1-800-335-2120 (24 hours a day) or use the Internet:at www.askPSC.com, then clicking “contact us” and their “Comment Form.” All comments must be made by September 6, 2010 or postmarked by that date. Statements made can be seen at www.dps.state.ny.us.
An article in Food and Water Waatch (6/4/10) cited many of United Water’s “Service Failures” such as lack of maintenance and cost cutting measures. As the second largest private operator of water service in our country the article states that consumers find “water service actually deteriorates under private control.” Some municipalities no longer use United Water. The town of Gary, Indiana expects to save $8 million each year as they put their water service under their own operation.
In the August 9, 2010 issue of the Westchester Herald
Increase of fees and decrease of service
When I spoke at the public hearing I adressed several concerns.
1- The possible impact of the increased fee for renting fire hydrants. There are several possible things that could happen.As the increase will be put directly in the Fire department budget it will cause reductions within the organization. These reductions could come in many forms. A reduction in manpower , the possible closing down of a company or a firehouse, a possible reduction in the services provided such as emergency medical response.
2- The impact on the cities ISO rating. This will cause a reduction of the ISO rating in NewRochelle.This reduction will occur due to the continued reduction in pressure delivered to the water system which is most evident in taller or highrise buildings. A huge factor in determining the rating is the pressure at the hydrant. Firefighters can not make an agressive attact at a fire due to the logistical delays which are caused by having to secure a good water source and then supplying it to the standpipe system of the affected building. When you have delays like this a minor fire quickly becomes a significant conflagration which then puts the residents or occupants and the fire fighters in a greater position to be injured and will result in greater damage to the structure and it’s contents. Previously we had the ability to set up operations and to operate immediately. Keep in mind the ISO rating affects home owners and businesses alike.
3- This proposed increase of fees and the existing reduction of hydrant pressure is not fair to the taxpayers in NewRochelle nor is it cognizant of the hazzards caused to everyone concerned.We all deserve to have the proper level of protection we pay for and are used to.
Currently the fire department is understaffed already due to the city not replacing vacant positions. Any further reductions in manpower or facilities is just not acceptable. NewRochelle is fortunate to have the the level of commitment from her firefighters to get the job done safely and agressively which is a reflection of our mission to get the job done.
Byron O. Gray
President, Local 273 IAFF