August 26, 2004

Who Will Pay For Big Project?

By Wendell Dawson, Editor, AVOC, Inc.

The projects under consideration in area counties now are staggering.  We are talking about a bunch of money and debt!

Governments that commit to such projects are obligating their communities for many years to come- long after incumbent officials are gone!   The ones giving assurance that the projects are self-paying will not likely be around to see it paid.

Such decisions should not be taken lightly.  Real discussion and debate should involve citizens and not just investors, consultants and bond folks.

The Walton Tribune
http://waltontribune.com

Published August 22, 2004

Authority pitches reservoir

By Wes Swietek
The Walton Tribune

WALTON COUNTY — The Walton County Water and Sewerage Authority made its case Thursday for the Hard Labor Creek Reservoir while disclosing that Authority Chairman Ben Doster was part of a 2001 land deal in the impacted area.

The Thursday night meeting at a courthouse annex in Monroe was originally scheduled by the Walton County Board of Commissioners after Authority members asked the county to back bonds for the project. The Authority decided to withdraw the request for county backing last week, and instead used the meeting to present information about the project to more than 100 onlookers.

The proposed 1,370-acre reservoir near Social Circle would cost an estimated $
42 million and would begin providing water in about 2011.

Attorney Tommy Craig spoke on behalf of the Authority and outlined the need for a reservoir, saying projections showed that that the region’s growth would mean there would be a water shortage by 2015 without the reservoir.

Before taking questions, Craig said he wanted to address “rumors” regarding the reservoir project. A copy of a 2001 letter from Doster to Authority members was then shown that outlined Doster’s purchase of land slated to be in or near the reservoir. The letter said Doster and other investors, as part of Sun Equity Investments LLC, had purchased the Alan Kilgore farm near the reservoir site.

Craig said the authority had built a “Chinese wall” around Doster regarding any discussions of land purchases by the Authority.

Doster came under fire for an alleged conflict of interest earlier this year when Sun Equity sought rezoning for a landfill along the Apalachee River —the main water source for the Hard Labor Creek Reservoir.

Another partner in Sun Equity is Rick Holder, who as county commission chairman in the early 1990s oversaw the transfer of the reservoir project from the BOC to the Authority.

Craig spent another hour answering questions from the audience.

In response to questions regarding why the Hard Labor Creek site was chosen, despite early studies that showed alternative sites would be cheaper, Craig said environmental concerns made Hard Labor Creek the best choice.

Regarding the financing of the project, Craig said the cost would be spread out over several decades and partially absorbed by new customers and the city of Winder and Oconee County, which have tentatively agreed to purchase some of the water.

Craig did say that Authority customers could expect rate increases of about 5 percent a year.

“There’s no present intent to ask the county or taxpayers to pay for this,” Craig said.

Copyright © 2004 The Walton Tribune