Saluda considers utility bill help for struggling customers

Published 10:00 pm Thursday, July 28, 2016

The City of Saluda is considering setting up a fund through Thermal Belt Outreach Ministry to specifically help its utility customers who may be struggling to pay the bill.

The Saluda Board of Commissioners met July 11 and heard from assistant city clerk Jessica Desiano who has researched how the city can help those who struggle to pay the city’s bill.

Desiano’s suggestion was for the city to deposit money annually through Outreach and those who qualify from Saluda could reach out there for help.

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Residents seeking help would have to make an application through Outreach in Columbus.

The suggestion is for the city to donate $7,200 annually to the fund from the city’s general fund. The cap per household would be $360 per year, which would serve 20 households per year. The assistance could be used for qualified applicants to lower their bill over 12 months, use the lump sum for a one-time payment or use the funds to help in repair of an emergency plumbing issue, according to the proposal.

Desiano said the city has residents who have trouble paying their utility bills so the city decided to look into an assistance program for those who qualify. Desiano told commissioners the city’s fees continue to go up with water and sewer rates recently increased and approved to increase again over the next two years.

The proposal is for residents to qualify they would have to meet the poverty guidelines, set forth by Outreach. To qualify, a family of two would have to earn $31,800 or less annually.

“According to EPA guidelines, it is recommended that a water/sewer bill not utilize more than 4.5 percent of a household’s income,” Desiano said. “A household income of $31,800 should have a bill lower than $119.25.”

Saluda as of earlier this month had 122 accounts with monthly bills higher than $119.25 per month, although not all of those users are low income.

“This number will increase significantly in the next two years with rate increases,” Desiano said.

The $7,200 city donation or $360 per household per year figures came from Saluda’s 2016 and 2017 rate increases, which will amount to $31 per month based on an average usage of 3,000 gallons of water per month.

Desiano also said the late fees the city charges for people who don’t pay their bills on time can go towards helping the people who can’t pay.

Commissioner Mark Oxtoby said Desiano did a good job on the proposal.

City attorney Bailey Nager told the board he can’t tell them it’s legal to set up an assistance program as outlined but he will look into it.

“We have raised the rates and they are pretty high and there are some folks that can’t pay,” said commissioner Stan Walker.

Desiano added that Outreach does have a program to help with utility bills but they have to have a disconnect notice from the city first before they will help. Desiano said she is trying to avoid the disconnection of service before help can be given.

Saluda Mayor Fred Baisden suggested Desiano work with city manager Jon Cannon and asked Nager to check on the legalities of the proposal as far as “taking money from Peter to pay Paul.”

The board plans to discuss the assistance program at a later date.