The 2017-18 wholesale rate (effective July 1, 2017) will be $5.15 per 1,000 gallons. The MCRWASA wholesale water rate (the rate charged by MCRWASA to the Town of Williamston and Martin County Water Districts #1 and #2) was approved at the May 25 th meeting of the MCRWASA Board of Directors. Those measures allowed us to reduce the required increase by approximately 30 percent.” These remaining customers have to pay a higher percentage of the debt service, as well as operating costs, which are mostly fixed costs.” Faced with the loss of Parkdale water sales, the Town has taken measures to reduce the 2017-18 budget for water and sewer operations by reducing or postponing certain capital expenditures and operational needs in order to hold the necessary increase to a minimum. Williamston Interim Town Administrator Brent Kanipe added, “When we lose a big water customer like Parkdale Mills, a higher burden is placed on the remaining customers. We have a 40-year US Department of Agriculture loan for this project, and the debt service payment is about $812,000 per year, which represents about 45 percent of the MCRWASA annual budget”, said David Bone, MCRWASA Chairman and County Manager of Martin County. “While we had about $8.45 million in grants involved in the water treatment plant, we also have about $19 million in loans involved in this project. ![]() This facility and related projects cost about $27 million. After the study of several alternatives, including multiple groundwater alternatives, a Roanoke River water treatment plant was selected in 2009 as the supply alternative. Through the CCPCUA Rules, the State of NC required Martin County and the Town of Williamston to diversify water resources and to reduce their dependence and use of water from the Cretaceous aquifer by up to 75 percent. MCRWASA was formed and the MCRWASA water treatment plant was built to address the Central Coastal Plain Capacity Use Area (CCPCUA) Rules. MCRWASA, the Town of Williamston and Martin County are trying to keep water rates as low as possible, but it is a huge challenge. The loss of Parkdale Mills’ 35.6 million gallons of water usage will impact the water rates for the Town of Williamston usage in 2017-18 and will begin to affect MCRWASA (and thereby Martin County Water Districts #1 and #2 customers) in 2018-19. When water usage goes down, the unit cost goes up, thereby increasing the cost to customers. The budget for the MCRWASA water treatment plant is mostly comprised of fixed costs. A policy in this agreement specifies that the wholesale unit cost of the water is based on the usage of each member from the prior year. In turn, the utilities charge the retail rate to their customers – the water customers of the Town of Williamston, Martin County Water District #1 (Oak City area) and Martin County Water District #2 (Bear Grass / Farm Life areas).Īn inter-local agreement approved in 2009 helps govern MCRWASA. The town and county have additional operating expenses and debt service payments, which have to be considered in developing the retail rates. The MCRWASA wholesale rate is incorporated into the Town of Williamston and Martin County retail water rates. MCRWASA treats water and sells water to Martin County and the Town of Williamston on a wholesale basis. Additionally, Martin County and the Town of Williamston are MCRWASA’s only wholesale customers. Martin County and the Town of Williamston are partners in MCRWASA. ![]() Often, many of these factors, logistics costs for example, are beyond the control of the local community.” “However, there are many factors that large corporations consider when consolidating operational footprints and maximizing profits. “Williamston and the County put an aggressive retention incentive on the table for Parkdale, which would have netted the company significant savings in terms of water expenditures and future taxes,” said Jason Semple, President and CEO of Martin County Economic Development Corporation. Losing such a large water user negatively impacts the Town of Williamston, and subsequently, MCRWASA and Martin County water customers, as well. ![]() Parkdale Mills also was the largest water customer for the Town of Williamston, having used 35.6 million gallons of water last year. The plant closure also has ripple effects throughout the community – affecting other local businesses, the general local economy and the local tax base.” County Manager David Bone said, “Our hearts go out to the employees and families affected by this news. On April 12 th, Parkdale Mills announced it will shut down its Williamston facility by June 10, 2017. The Town of Williamston, the Martin County Water and Sewer Authority (MCRWASA), and Martin County are dealing with the challenges of the loss of a major industry, Parkdale Mills.
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