By Scott Graber
It is Wednesday, 6 p.m., and I’m just leaving the expansive boardroom at the Beaufort Jasper Water and Sewer Authority in Okatie.
Once I sat on the Board of the Water Authority (1985-1997) but in those days we held our meetings in a room adjacent the Water Authority’s testing lab.
Our meetings came with complimentary doughnuts and the smell of ammonia — or perhaps it was chlorine — in any event, one emerged from the meetings smelling much like a swimmer just out of the pool. Or like a cleaning lady who had just scrubbed-down the well-worn linoleum hallways at one’s high school.
Today, I’m with Verna Arnette who has taken possession of the Water and Sewer Authority’s executive suite, who has recently relocated from Cincinnati, Ohio, where she tended to 1.1 million water customers.
I wanted to talk about the recent 9% rate hike — but first we talked about the influx of retired, well-pensioned immigrants flowing down Interstate 75 and into the Beaufort and Jasper Counties — especially Ohioans who have brought their Buckeye-loving loyalties to the beaches and bars of Hilton Head.
Arnette began by acknowledging that many of her scarlet and gray-wearing kindred have moved down from Ohio, but said the average customer here in Beaufort uses 7,000 gallons of water a month. This compares with the average Cincinnati customer who uses about 4,000 gallons a month.
“Perhaps it’s got something to do with irrigation and the fact that grass grows year round down here,” she said.
But I’m focused on rates that have been adjusted upwards by an average of 9% for the average customer; this contrasting with previous years when that hike was around 1.5%.
“Does this hike have something to do with the rapid growth in Bluffton and around Hardeeville?”
“No” said Jeff La Rue who is the Communications Officer at the Water Authority. “There are multiple reasons for the hike and growth is just one of them.”
I pointed out that the Water Authority has just spent $100,000,000 dollars upgrading the Cherry Point Reclamation Facility that provides wastewater services for southern Beaufort County. And the Authority expects to spend another $200,000,000 — some of that to upgrade the Hardeeville Sewer Plant and to build yet another sewage treatment facility for the anticipated growth in and around Jasper and Hardeeville.
“Isn’t it obvious that capital spending — in the next couple of years — is the culprit?”
“it’s not that simple,” La Rue replied.
“New regulations are a problem. We’ve got to test for what are called ‘Forever Chemicals’ — by-products of waterproofed clothing and food packaging that have gotten into our system.”
“Then we’ve got the cost of construction, which has doubled, in some cases tripled” he continued.
“Unlike Cincinnati,” Arnette said, “Our system is spread out over two counties. Our water and wastewater systems require pipes — very long and expensive pipes—to service the 79,000 customers who live here.”
But the published numbers show that in 2025 there is $173,000,000 in projected spending for capital projects like pipes and plants. Presently there is $140,000,000 in the bank. This means a $37,000,000 difference that must be handled by borrowing.
Apparently bonds will be sold in March of next year.
In subsequent years there is the upgrading of the Hardeeville (sewer) plant; as well as building a third sewage treatment plant somewhere in Jasper County. All of which adds up to a very big number.
“Given the fact that two thirds of these capital needs relate to sewage treatment in southern Beaufort County; and that all the rate-payers will pay the interest and principal on the bonds that will be sold; is that fair for those of us living north of the Broad?” I asked.
“Yes” they replied.
“Your time will come. When we start upgrading the infrastructure in Port Royal, and in Beaufort, all of the rate payers — including those in Hardeeville — will pay the bill.”
While it is true that Salem Point (in Beaufort) and Paris Island Gateway (in Port Royal) are slated to become vast oceans of apartments and cleverly named townhouse communities; that development is dwarfed by what is underway (and what is planned) along Argent Boulevard, Highway 278 and in Hardeeville.
It is true that the Water Authority made growth possible in Beaufort and Jasper Counties. And that growth created an enormous tax base.
But a portion of that growth was subsidized by the customers at BJWSA. If you think the developers’ “capacity fees” paid the tab for growth — think again.
Scott Graber is a lawyer, novelist, veteran columnist and longtime resident of Port Royal. He can be reached at cscottgraber@gmail.com.
