Eagle Residents Opposing Suez Water Acquisition
Suez Water company is looking to drop some big bucks to purchase Eagle Water Company. According to KTVB, Suez has proposed a $10 million acquisition of the local water company, but residents are not too happy about it.
According to KTVB, Norman Semanko, an attorney representing a group of residents who oppose the sale, says the merger could mean some big rate hikes. "Residential costumers [...] can expect triple increase in their water bills in the next three years."
Unfortunately, those rate hikes -according Semanko- wouldn't be exclusive to City of Eagle residents: "not only would it increase the rates for existing Eagle Water costumers, that $10 million cost is proposed to be spread among all Suez Water costumers."
Suez Water representative, Jane Kreller, told KTVB that there's a reason behind the increase in rates:
Eagle Water Company, they haven't invested anything into the system, so the rates are artificially low," Kreller said. "So, anybody that comes in and purchases the Eagle Water Company, they are going to have to raise the rates eventually because they will have to do improvements on the system
So, what happens if the deal goes through? Suez Water says they're planning to invest $13 million to improve the water system that currently exists in Eagle.
The City of Eagle will be discussing the proposed sale tonight at the City Council meeting at 5:30 p.m.