2621 Jody Drive - New Franken, WI - 54229
fax: (920) 406-9381
Ph. (920) 406-9380
www.townofscott.com
March 9, 2017
Dear Scott Municipal Utility Water Customers:
The Scott Municipal Utility (SMU) began operating on January 1, 2017. Created by the Scott Town
Board, SMU is a consolidation of Scott Water Utility, Scott Storm Water Utility, and Scott #1 Sanitary
District. SMU is responsible for continuing to carry on the operations of the Scott Water Utility and
as planned, has filed an application with the Public Service Commission of Wisconsin (PSCW) to
increase water rates; in order to continue to provide you, our customers, with a safe and adequate
supply of water.
Over the past several years, we have experienced more water leaks, failing valves, failing fire hydrants
and an inability to maintain proper levels of chlorination in the system. In order to maintain the proper
level of bacteria killing chlorination we have to flush the system more frequently thus purging water
that we purchased from the City of Green Bay. In addition, we have no way to back up our system
should a major interruption occur on the south end of the water distribution system. Therefore, to
resolve these and other issues, a long planned interconnection with the Green Bay Water Utility System
is planned for construction this year, in the area of the Van Lanen Road east of Nicolet Drive. Also,
we will be replacing a major pressure reducing valve along Van Lanen Road.
While the Scott water system has been maintained very frugally over the years, and has provided some
of the lowest overall rates in the region, it has no capital reserve and is now in need of repair and
upgrade. Thankfully, the Scott #1 Sanitary District has stepped forward and made a major financial
commitment, from its excess reserve funds, to help underwrite a significant portion of the project cost
and reduce the overall impact for water rate payers. This financial commitment works because Scott
#1 customers are also served with municipal water.
The total increase in annual water revenues requested is $95,161 which will result in an estimated
overall rate increase of 41 percent over the water utility’s present revenues. For example, if the request
is granted, the water bill for an average residential customer with a ¾-inch meter who uses 11,000
gallons of water per quarter will increase from $57.27 to $85.53, or 49% (not including the public fire
protection charge), and will increase from $65.27 to $93.53, or 43% (including the public fire
protection charge). The increase is necessary due to a 12 percent increase in gross plant investment
and a 37 percent increase in operating expenses since the last water rate case was completed in 2014.
The Scott water system rates will remain very competitive with other water utilities in the area.
However, we will still not be building a significant reserve and will remain subject to a major financial
risk should a major line break occur.
SMU has scheduled an Open House on Monday, March 20, from 4:00 – 5:30 PM at the Scott Town
Hall to answer any questions that you may have regarding this water rate increase. You may also
express your opinion on this request on March 21 as described below.
A telephonic public hearing on the application has been scheduled for Tuesday, March 21, 2017, at 2:00
p.m. in the Board Room at the Town of Scott Town Hall, 2621 Jody Drive, New Franken, Wisconsin.
Scheduling questions regarding this hearing may be directed to the PSCW at (608) 266-3766.
A person may testify in this proceeding without becoming a party and without attorney representation. A
person may submit this testimony in only one of the following ways:
•
Web Comment. Go to the Commission’s web site at http://psc.wi.gov, click on the “Public
Comments” button on the side menu bar. On the next page select the “File a comment” link
that appears for docket number 5296-WR-102. Web comments shall be received no later than
the day before the hearing.
•
Oral Comment. Spoken testimony at the public session.
•
Written Comment. Instead of speaking at the hearing, write out a comment and submit it at
the public session.
•
Mail Comment. All comments submitted by U.S. Mail shall be received no later than the day
before the hearing and shall be addressed to: Attn: Docket 5296-WR-102 Comments, Public
Service Commission, P.O. Box 7854, Madison, WI 53707-7854.
The PSCW intends to webcast this hearing live on the PSCW’s web site at http://psc.wi.gov under the “PSC
Live Broadcast” button.
All documents in this docket are filed on the Commission’s Electronic Regulatory Filing (ERF) system.
To view these documents: (1) go to the Commission’s web site at http://psc.wi.gov, (2) enter “5296-WR102” in the box labeled “Link Directly to a case,” and (3) select “GO”.
If you have any questions, please contact the Town of Scott Water Utility at (920) 406-9380.