April 2017 3
Kiawah Island Utility Rate Settlement
The Town of Kiawah Island and the Kiawah Island Community Association are pleased to inform Kiawah ' s residents and property owners that they have reached a tentative agreement with the Kiawah Island Utility , Inc ( KIU ). and the South Carolina Office of Regulatory Staff on a proposed rate adjustment for water and sewer service . The settlement was submitted to the South Carolina Public Service Commission for approval on March 21 ( This issue of Digest was published prior to the approval date . For status of final approval , visit kica . us after March 21 .)
In late 2016 , the utility filed for a rate adjustment that included a 25.6 % increase to water and sewer rates . Their proposed increase was intended to reflect their increased costs since their last rate adjustment in 2012 , and to recover the significant costs associated with the completion of a new water line connecting the island to the utility ' s supplier on Johns Island . Both the town and the community association filed to intervene in the case , concerned about the size of the increase and its impact on property owners .
If ultimately approved , the agreement calls for a 14.6 % adjustment to water and sewer rates , significantly lower than the 25.6 % requested by KIU . This agreement and the new rates require and are pending final approval by the South Carolina Public Services Commission
According to Kiawah ' s mayor , Craig Weaver , " We think this adjustment reflects an equitable agreement for both the utility and Kiawah ' s property owners . The utility was urged several years ago to make this investment in a new water line to ensure that residents and businesses had reliable and uninterrupted service . At the same time , it is important that KIU maintain an operating and cost structure that provides residents and businesses on Kiawah with competitive rates and limits the need for rate increases . This agreement is a good example of the benefit of the town and community association working closely together on concerns important to the community ."
Kiawah Island Utility , Inc . is a private company and is the sole provider of water and sewer services to Kiawah Island . Originally owned and operated by Kiawah Development Partners , the company was sold to and is a wholly owned subsidiary of Southwest Water Company , headquartered in Sugar Land , TX . Further information will be provided by KIU directly to their customers after a final ruling on the proposed agreement by the South Carolina PSC later this month . For more information on KIU , visit kiawahislandutility . com .
Planning , Cost-saving Techniques Lead to Stable Finances
Drainage repair is just one of several areas where cost-effective methods were implemented by KICA staff in 2016 .
Thanks to sound financial planning and a variety of cost-saving techniques implemented by KICA staff , the association is in a strong financial position as it moves through 2017 . That was the message from ( then ) KICA Board Treasurer Raj Govindan at the Annual Meeting held in March .
Though actual 2016 revenues were down $ 166,111 from budget , expenses , excluding those related to Hurricane Matthew , were more than $ 500,000 below the amount budgeted for 2016 . A portion of the savings may be attributed to cost-effective Major Repair and Replacement methods implemented by KICA staff , such as the spincasting method for drainage repairs , which has reduced pipe replacement costs since first implemented in 2015 .
Staff continue to look for cost saving methods for 2017 and beyond . For example , an upcoming island-wide road rejuvenation project is expected to save a significant amount when compared to the traditional mill and replace method of paving - and will extend the life of the roadways .
“ Better planning has led to better spending ,” said Govindan . “ KICA has an incredible team of staff finding better , more efficient ways to manage the island .”
For a detailed look at the Treasurer ’ s Report , the 2016 and 2017 budgets , and other in-depth financial statements , visit kica . us / finances .
Digest Contributors Frances Boyd - Member Volunteer Virginia Chapel - Member Volunteer Bill Hindman - Member Volunteer Shauneen Hutchinson - Member Volunteer Sue Schaffer - Feature reporter Deb Stewart - Member Volunteer
Staff Production Team Doug Reynolds - Communications / Editor Tammy McAdory - Executive Director
Digest Mission Statement Kiawah Island Digest is an official communications tool of the Kiawah Island Community Association . Its mission is to accurately and effectively communicate information to the membership in a balanced and constructive manner .
Statement of Editorial Policy KICA will endeavor to report significant island news as well as informational topics , programs and events of interest to its members . KICA may from time to time publish editorials in support of its strategic objectives . Member suggestions on content should be submitted by email to communications @ kica . us