2006 Annual Financial Report
City of New Albany
"Sewage Disposal, Sanitation, and Storm water Charges."
These are the Facts: The City has ordinances G-06-29, A-01-47, G-06-21, and G-80-840, setting the rates to be charged for sewage disposal, sanitation charges, storm water charges and penalities for late payments, respectively. We noted the following exceptions as they pertain to the accounts maintained by IAWC (IAWC accounts) and accounts maintained by the Utility (in-house accounts)
Billing - (Page 46-2006 Audit)
Sewage Disposal Charges:
1. Some customers that should be billed for sewage disposal are not being billed (IAWC accounts).
2. Some customers are being charged more than the approved rates (in-house accounts).
3. A 10% late penality was not always assessed (in-house accounts).
Sanitation Charges:
1. Some commercial customers are being charged less than the approved commercial rates (IAWC accounts)
2. Some churches are being billed more than the approved rates established for churches (IAWC accounts).
3. Some customers that are required to be billed for sanitation are not being billed (IAWC accounts).
Storm Water Charges:
1. Some customers that are required to be billed for storm water are not being billed (IAWC accounts).
2. A 10% late penality is not being assessed (IAWC accounts).
3. A 10% late penality was not always assessed (in-house accounts).
Since 1998, the Wastewater Utility has contracted with Indiana American Water, Inc, (IAWC) to perform the billings and collections of all the Utility's sewage and sanitation charges. IAWC also began billings and collections of all city "residential" storm water charges which were implemented in 2006.
Starting January 1, 2006, the Utility (in-house accounts), took over billings and collections of all sewage and sanitation accounts in the Route 22 area (approximately 3000 accounts) which had been previously handled by IAWC. The Utility (in-house accounts) also began billings and collections for the city's "commercial" storm water charges which were implemented in 2006.
Source: 2006 Annual Financial Report Audit
Freedom of Speech would like to say, New Albany taxpayers are funding a Billing Collection office and staff.
The new so called in-house accounts billing office has spent about $800,000.00 of taxpayers monies for staff, equipment, software and just recently hired more staff!
Why are the problems listed by the 2006 audit not being corrected?
So we ask you, what's wrong with this picture taxpayers?
Why should Indiana Water Company be paid to bill some of us, and the new In-house Billing Department bill others?
Why waste over $800,000.00 of our tax dollars?
But there is more...
Delinquent Wastewater Accounts
"As of December 31, 2006, Delinquent Wastewater Fees (Sewer Bills) and penalties totaling $472,654.00 had not been recorded with the County Recorder nor were they certified to the County Auditor which would result in a lien against the property."
The City of New Albany has been told of this Delinquent Sewer Bill problem in the City Audits of:
1999 - Mayor England
2000 - Mayor Overton
2001 - Mayor Overton
2002 - Mayor Overton
2003 - Mayor Overton
2004 - Mayor Garner
2005 - Mayor Garner
And again - Now in 2006!
Since 2005 there is about $2.3 million dollars of uncollected sewer bills on the city books.
We pay our monthly sewer, sanitation, and stormwater bill do you?
And now we wonder why our sewer bills keep going up?
Get ready taxpayers, there is another sewer rate increase in the making!
Freedom of Speech feels we have an "Unfair Billing System" in New Albany!
Will these unfair billing fees open the city up to new lawsuits if they bill some property owners and let others not pay?
Why should we have to pay the monthly $3.17 fee when they don't have a way to bill owners of vacant property?
Why doesn't the Sewer Staff in the Mayor's Office concentrate on collecting "Delinquent Sewer and Garbage Bills" instead of considering raising our sewer rates on us who pay our bills?
It has been repeated that the new Stormwater Fee would be more fair and equal if they placed this fee on the property tax bill. Why won't the Mayor and the Sewer Board agree to this method? By doing this, all property owners would be billed.
Freedom of Speech recommends you go to www.newalbany.in.gov click Sewer Board minutes dated 9-20-05, see pages 3 and 4 for the discussion about the cost of bringing Sewer billing back to New Albany with more equipment and more staff. "What a waste" of $800,000 of taxpayer's money!
"Boy, were we duped. The more I learn, the more I realize it was about greed. There is no free lunch, and everyone knows it."
~Susan Hitchcock~
