The International Falls City Council this week, in response to complaints and confusion about water rates charged to two area hauling businesses, released comparisons of water bills charged to the hauler’s customers.
Councilors Tuesday, after hearing concerns voiced by two members of the public who have their water hauled to their residences by Don’s Water Service and North Country Water Service, said that haulers are passing on more than the city’s increase to their customers.
The new rates result in the water haulers being charged $9.18 per l,000 gallons of water. The previous rate which water haulers were charged was $6.20 per 1,000 gallons. The previous charges in 2011 were classified as an in-town rate, while the new charges this year are based on an out-of-town rate.
Gary Skallman, city public works director, told The Journal that Ranier is now being charged the same rate as the haulers.
Falls Mayor Shawn Mason said that water haulers are charging their customers the city’s water rate increase plus more. She said she looks forward to a chance to educate people about the city’s increase to the water haul businesses.
Councilor Gail Rognerud said customers ought to ask their water haulers where the additional costs over and above the city’s increase are coming from.
“We only have control over the city’s charges to the haulers,” Rognerud said.
During the audience portion of Tuesday’s council meeting, Gordy Dault and Kathie Fluke, who each have their water hauled to their residences, said the rate increase to water haulers was steep and could impact residents.
Representatives of the two water hauling businesses were not in attendance at Tuesday’s meeting. Brian Horne, owner of North Country, said he would have attended the meeting had he known the water issue would be discussed.
Horne and Charlotte Marble, bookkeeper for Don’s Water, said they will attend a 4 p.m. Monday meeting of the Finance and Legislation Committee, which is expected to discuss the water rates. The meeting will be held in the Falls Municipal Building.
Both Horne and Marble told The Journal that they must charge additional money to cover costs and make a profit.
After reviewing the city’s chart provided at Tuesday’s meeting, Marble said she was not sure where the city’s numbers came from.
“People in business don’t purchase something and not make a profit,” she said. She calculated that for 250 to 3,500 gallons, the minimum increase to customers from Don’s Water is 21.5 percent and the maximum is 34.5 percent. “We didn’t increase to 48 percent,” she said.
Marble said businesses must go by percentages. “That is how business is basically designed,” she said.
“Our rates had to go a little more than city raised it to compensate for all else,” Horne said. “The city did a good job of getting the spotlight off them and on to other people.”
At issue for Horne is that the two water haulers are paying a higher rate than the city’s water customers, even though the haulers purchase their water within city limits.
“Why are me and Marbles paying 48 percent and our town is paying 20 percent?” he asked. “We’re not trying to cover anything up. I told my customers about the water rate going up. Customers can ask and I can explain this.”
