Tag Archives: sewer treatment plant

Lawsuit could force city to triple sewer rates

The city is drafting an ordinance that would allow it to double or possibly triple Winslow sewer rates to fill a funding gap for the nearly-completed sewer plant upgrade.

A lawsuit and recent appeal from the Bainbridge Ratepayers Alliance has effectively blocked the city’s ability obtain the bond-funded portion of the project.

“The lawsuit appeal needlessly risks a financial crisis for the city and its sewer ratepayers,” City Councilman Barry Peters said.

Alliance members say the emergency rate hike would be unfair to sewer customers.

“To threaten them because we’re seeking justice and due democratic process is astounding,” said alliance member Sally Adams.

Read the full story here.

Sewer plant upgrade moves forward, despite legal threats

Below is my coverage of last night’s council action on bond funding for the Winslow sewer plant upgrade. The council’s narrow approval came hours after an utility ratepayer group threatened legal action to block bond funding.

Despite the threat of a lawsuit, the City Council on Wednesday narrowly approved the first step in issuing a bond to pay for a $15.5 million upgrade of the Winslow sewer treatment plant.

The council, by a vote of four to three, approved a line of credit to set the bond process in motion. On March 25, the council is scheduled to vote on the bond’s final approval.

Hours before the vote, the city received a letter from an attorney hired by the Bainbridge Ratepayers Alliance warning of “appropriate legal recourse” if the city approves the bonds.

Attorney Richard Stephens, who did not return calls for comment, charges in the letter that the city failed to fully disclose its “dire financial situation” as it developed its bond proposal. Poor financial footing, according to Stephens, could dampen the city’s reputation, leading to higher interest rates, more stringent loan conditions and higher bills for ratepayers.

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Group threatens to sue city over sewer plant funding

An attorney hired by a group calling itself the Bainbridge Ratepayers Alliance sent a letter to the city today warning of “appropriate legal recourse” if the city approves bonds for a new Winslow sewer treatment plant.

The $15.5 million plant is drawing most of its funding from bonds and a trust fund loan covered by Winslow utility ratepayers.

Attorney Richard Stephens charges that the city failed to fully disclose its “dire financial situation.” Poor financial footing, according to Stephens, could dampen the city’s reputation, leading to higher interest rates, more stringent loan conditions and higher bills for ratepayers.

Stephens also asserts bond funding for the plant would violate city rules restricting capital facilities financing and that ratepayers were denied proper due process in the plant’s planning.

The letter was sent to the city hours before the City Council was scheduled to vote on approving the bond.

The council is slated to vote on the bond at 8 p.m. tonight.