3/19/1986 (2) - Laserfiche WebLink

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r-- I MAR 1 S 198690oK F'GE971 Chairman Scurlock did not believe Mr. Davenport understood the fact that there is not a dime in these considerations associated with the expansion of the plant, and considerable discussion followed wherein it was explained that the original Imhoff plant installed in the late 60's was phased out in 1978, at which time the 250,000 gpd plant, which has since been modified, was constructed. Mr. Davenport asked how long we have been on line with the new 850,000 gallon plant, but Commissioner Lyons did not believe that was pertinent since it was later than 1982. Mr. Davenport believed it was pertinent since they don't have any complaints to attack this case because the new plant is already there, and they are going to have to pay for an old one they are not even using and which should have been amortized. Chairman Scurlock emphasized that statement is absolutely wrong. The expansion was of the existing 250,000 gpd plant, which was specifically designed to be expandable, and that plant is there, still receiving flow, and still treating. Mr. Davenport felt the rates are expandable also, and Chairman Scurlock could not believe that anyone who ever operated a business or was employed didn't ever hope or expect that their salary would go up or that their business would have additional increases to meet additional expenses. That is a fact of the business world. The Chairman stated that there was absolutely no question in his mind that the staff has demonstrated that the rate case has been justified, and he therefore, intended to vote for the increase. Mr. Davenport reiterated that what he learned during the break is that if the people don't complain about the service, they cannot effectively fight this rate case. Chairman Scurlock confirmed that inadequate service is one basis to fight the rate case, and the homeowners also can pay an outside accountant to attack the figures submitted by GDU if they 26