BASA sends letter to customers containing sale info
Butler Area Sewer Authority has sent a letter to customers with pertinent information on the sale of the authority to Pennsylvania American Water.
The letter reminds customers of a $2.50 monthly rate increase to be imposed by BASA on or before the closing of the sale. Reasons listed for the increase are that BASA’s rates “have been kept arbitrarily low for years, lagging in price from other sewer authorities across Pennsylvania” and immediate operational needs.
After the closing, the water company has promised not to increase rates for one year. The $231 million sale is awaiting approval by the Pennsylvania Public Utility Commission (PUC).
BASA customers also were told in the letter that billing for sewer service eventually will transition from the longtime flat monthly rate to a metered rate, meaning sewer customers will be charged based on their water usage.
BASA spokesman Joey Georgy said BASA does have some sewer customers who have wells, but did not have the number available Tuesday. Georgy did not say how customers who have wells will be charged by Pennsylvania American Water.
In addition, the letter stated that Pennsylvania American Water customers served by BASA will receive an estimate of potential future sewer rate increases.
The estimates are required by the PUC as part of Pennsylvania American Water’s purchase of BASA.
The letter warned that because Pennsylvania American Water rate increases must be approved by the PUC, the rates at the time they are approved may not be the same as the estimates enclosed in the letter to customers.
Customers can send a letter to the PUC to share why they support or object to the water company’s application for a rate increase should the company do so, or they can attend or testify at a PUC public input hearing, Georgy said.
The letter, signed by the five BASA board directors, said the reason for the sale is aging infrastructure coupled with more-stringent environmental regulations.
“Pennsylvania American Water has the financial resources and professional expertise needed to operate and provide long-term investments in our wastewater system,” the letter states. “Pennsylvania American Water also currently provides water services throughout our region, so many of you have experienced the company’s excellent work firsthand.”
Georgy expected BASA customers to receive the letter in the mail within the next few days.
Information on the sale of BASA to Pennsylvania American Water is available at resources4basacustomers.org.
