Help hard to find for residents experiencing rising sewer rates in North Shelby

Residents served by the North Shelby Wastewater Treatment Plant learned recently that assistance with spiking sewer bills might be difficult to attain.

During a meeting on Feb. 4, approximately 150 residents of Greystone, Eagle Point and surrounding subdivisions served by the plant reported they have experienced a 165 percent increase in their annual sewer rates since 2005, spiking from $32.45 a month to $85.83. More than half that increase has come since the beginning of 2012, and residents predict that by 2016 they could be paying as much as $158 per month if increases continue at the current rate.

The meeting was called to allow those homeowners – a fraction of the more than 4,000 served by the system – an opportunity to request assistance from the Shelby County Commission. Attending were Commissioners Lindsey Allison and Rick Shepherd, who, after much discussion, said they were sympathetic to residents’ concerns.

However, there is very little the Commission can do.

Shelby County constructed the system in the late 1980s and, following a timeline full of struggle, sold the system to SouthWest Water, a private company, for $8.5 million in 2005. As customary in selling public assets to the private sector, minimal oversight for the County was maintained in the contract.

Also attending the meeting were Shelby Water Services Manager Charles Lay and County Manager Alex Dudchock. Lay said after the meeting the County receives proposed rate increases from SouthWest Water and reviews them to determine – and only to determine – if they are in violation of the contract. If not, the rate increase is approved.

The two most recent rate increases, according to data provided by residents at the meeting, were a 21.8 percent increase approved in 2012 and a 23.2 percent increase approved this year. Both were contractually sound, the County said, because they were instituted to cover the cost of plant upgrades required by the State of Alabama.

Namely, $9 million in upgrades were conducted in order to comply with increased regulations on phosphorus discharge into the Cahaba River watershed from the Alabama Department of Environmental Management (ADEM). According to research conducted by residents, SouthWest Water began these upgrades in 2009.

 Mary Sue Ludwig, a Greystone resident, said during the meeting that homeowners associations in the area have approached Alabama legislators proposing the State Public Service Commission review their case. In the meantime, Commissioners Allison and Shepherd said they would investigate their ability to help.

“We’re not SouthWest Water,” said Shepherd, who added he was the only member of the Commission who is currently on the North Shelby System. “We’re a new commission, and I don’t want to pay it anymore than you guys.”

Read more coverage in 280 Living’s opinion section beginning Feb. 8.