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Commission approves Lubeck PSD rate increase in two phases

By Brett Dunlap 5 min read

PARKERSBURG - The Wood County Commission approved a two phase rate increase over two years for water and sewer rates for the Lubeck PSD.

The commission unanimously approved the two-phase plan Monday where water rates would go up 18% starting in September and 12.22% a year from now. Sewer rates would go up 8% in September and another 6.03% next year.

The commission has been discussing a proposed 30% rate increase for water and a 14% increase for sewer that PSD officials outlined for the commission in June. They heard from PSD officials and residents last week. The PSD serves around 4,900 customers.

PSD officials said both increases are based on the current rates and will not be based on the increased amount during the first year in figuring out the rates for the second year.

Commissioner Jimmy Colombo said he liked the divided approach best.

"It will make the customers feel a little bit better about the whole thing," he said. "I understand the customer side of this, but I also understand that you are a business and if you don't have any funds, you can't operate and if you can't operate that is going to cause a lot of problems for everyone.

"This whole system is based on structure and rates. In order to keep it afloat, we are going to have to help you."

Zachary Dobbins, accountant with Bennett & Dobbins PLLC, said the Lubeck PSD has been struggling financially. Currently, the PSD can handle its operations and maintenance (O&M) payments and their debt service payments. However, other expenses are becoming harder to cover as prices for a lot of things, like gasoline, have gone up. The district started having employees paying for part of their insurance coverage.

They regularly have mandates they have to meet from the state and federal government, said Lubeck PSD Board Member Ron Kester.

"Most of costs are dictated to us by the government," he said. "We are just trying to survive."

There is a mandate saying they will need three Class III Water Operators soon and they have not had anyone who can pass the test with officials saying some of the questions on the test could only be answered by qualified engineers.

Dobbins said PSDs that fail go into receivership which is basically like bankruptcy. The state Public Service Commission would look for another PSD to take over its operations. If one does not volunteer, one will be assigned. In those cases, rates always go up, he added.

Currently, Lubeck customers using 3,000 gallons a month pay $34.35 for water. For comparison, Dobbins said customers in Claywood Park PSD pay $40.86, Mineral Wells pays $48.00 and Union Williams is $27.60, but Union Williams is also looking at requesting an increase.

A woman who identified herself as "Mrs. Johnson" said she and her family are customers of the Lubeck PSD. She said her water bill is currently averaging $122-$145 a month

"Lubeck water has been amazing when we have had water issues," she said. "Their guys in the field have come out and helped us immediately.

"They have been amazing with that."

She said she wanted to keep Lubeck PSD as their water company, but it seems like every utility company in the state have been asking for increases.

She is afraid the increases are going to become a yearly occurrence.

"It is exhausting to the customers financially and mentally," she said.

Mrs. Johnson said she wanted the PSD to regroup and look at ways to control costs. Colombo said the alternative would be going back to well systems that could have questionable safety in the water quality.

"In 2026 we should have access to city water and sewer," Mrs. Johnson responded.

Lubeck PSD Manager Rocky McConnell said they are looking at expenses. Their plant cost $10,000 a month to heat in the winter because they are on an electric heating system. He would like to switch over to a gas system but it will cost a lot of money to be able to do that.

"We are going to have to spend money to be able to save money," he said.

They are going to sit down and figure out what projects they want to do first and what they will put on hold as they look over this two phase rate increase implementation.

"We are going to have to be more frugal and pay attention to the things that we do," he said adding they are going to prioritize the work they do.

They want to move a waterline out of a wetlands area so they can have better access to be able to repair it. They also want to increase the line size outside of their plant to increase water flow from the plant.

Kester said for all of the issues they are facing, they still have a water and sewer system that the customers are happy with.

"If we want to keep that we are going to need money to survive," he said.

He said five years ago a barrel of chemicals to treat water was $65. Now the same barrel of chemicals costs $245 a barrel.

Couch is requesting the PSD leadership appear before the commission in six months to give them an update on how their efforts are going.

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