The Service Authority Board of Directors was slightly delayed in starting their meeting as Cathy Binder was a couple minutes late. The meeting began at 6:34pm as soon as she took her seat.
The sole public comment came from Kim Dodge. She started by saying there were some positives about the Service Authority but the $38 million in debt was bad news and that there has been no investment in infrastructure. She said it was great news that the rates were not going up next year. Dodge said when she moved here years ago, she paid just over $100 for both water and sewer with five people in her house and is now paying more than twice as much with only three people in her house. She also said Hazel Homes had to construct the infrastructure in Hopyard but she expressed concern over the existing infrastructure in Hopyard being able to handle the increased load of the expected 900 homes and commercial center. She said she has spoken to Mr. Werle, Chairman, about this several times and he told her it would run more efficiently. She said she has started a small business in the County doing massage therapy and found it hard to find an affordable place to operate. She said she does laundry at home for this business and her water bill "is going out of control." She closed by commenting that her Homeowner's Association (HOA) fees would probably be going up because they need to pay for the water in the pool.
The Board then began their reports with Mike Bennett and Richard Granger having nothing to report.
Ruby Brabo said she drove by the well compound in Owens the other day and saw several unmarked SUVs and an open gate and called Chris Thomas, General Manager, to report the suspicious activity. She wanted to remind everyone to say something if they see something. She responded to Mrs. Dodge that the developer of Hopyard, Hazel Homes, wasn't required to build the infrastructure but instead it was a proffer as part of the re-zoning request. In other words, the County didn't force Hazel to build it, instead they offered to build it. Brabo said that if anyone with a pool calls the Service Authority before filling it, they won't be charged for sewer for those gallons used.
Cathy Binder had nothing to report.
Chris Werle said he had nothing to report but thanked Mrs. Dodge for speaking. He said that Brabo had addressed all of the questions but explained further that the debt was acquired through the purchase of the old systems and the debt increased due to upgrades that were mandated by the State and Federal governments. He said the good news is that the debt fees are not going up, assuming of course that there is no new debt taken on. Werle said he's a customer too and as a low consumption user, his debt fees are nearly twice what he pays for water and sewer services. He also explained that the Hopyard sewage plant currently operates at about one tenth of its potential and can be expanded as future demand requires.
The Consent Agenda was approved without comment.
The County Attorney, Eric Gregory, had no report.
KGI Telecommunications then presented a request to the Board. The request, made by Michele, KGI President, and Steve Wido, began with a simple brief about their company and the services they provide. They said they are a local company looking to meet the need for faster internet in King George County by using the 5.8 and 3.65 gigahertz (GHz) bands. They are currently leasing space on two towers and supply broadband internet to 14 very satisfied customers. They listed various benefits to broadband internet such as working from home, streaming videos for college courses, and virtual doctor visits. They said they are currently waiting on approval from the Federal Communications Commission (FCC) to use the 3.6 GHz band and that this was their biggest hurdle at the moment. They have another 200 potential customers that could use that frequency. Their request tonight was to have the Board of Directors waive rent on the Arnold's Corner tower for 18 months, waive building, zoning, and planning fees, allow special use permits for new structures, and to expedite the processing of permits. They closed by saying things were going well but just waiting on the FCC approval.
Granger asked why they were asking for 18 months and if there was a reason for that time frame. Steve Wido said it would give them the needed time to get to the customers on the waiting list and would help their cash flow. Werle asked why there was a sudden change when they had a tentative agreement at their last meeting that was a 12 month lease and seemed to be acceptable by all parties. Wido said they didn't expect to hit a snag with the FCC approval process. He said they had the equipment on the tower but didn't realize it would take such a long time to get approval. Werle asked if they could get a better deal with their other leases and Wido replied that they can't renegotiate a contract because it's already signed and in place. Binder said things didn't sound like they were planned very well. Wido replied that they didn't know it would take so long and that ultimately the Board doesn't have to approve their request. Werle said his concern was that it would be setting a precedent for future companies, then suggested maybe they could waive the fees and KGI could get a grant from the Economic Development Authority (EDA). Brabo agreed. Werle suggested meeting with Chris Thomas, Dr. Young, County Administrator, and Ryan Gandy, Director of Economic Development, to look into the idea of an EDA grant or other potential options. Brabo again agreed and said the Board was happy to continue to negotiate. She also said that while she was sure the Widos did their due diligence, some things are out of their control, especially regarding wait times for government approval. She added that a week ago she met with a customer of KGI and they were very happy at the cheaper but faster connection.
Dr. Young spoke up that he had missed the suggestion. Werle repeated the suggestion that they meet to work out a lease agreement to delay lease payments while customers got on board and the suggestion for an EDA grant to help pay lease fees. Dr. Young asked what if the grant application was denied. Werle said the lease payments would be due when they were due. Brabo said she hoped broadband was important enough to get such a grant. Young said he rarely speaks up during Service Authority meetings but didn't want to see any delays because of his involvement and hard work in getting broadband access to the citizens. Werle said it wasn't being delayed and that there was already an agreement between the interested parties but the Widos are the ones that brought this proposal forward. Brabo asked what the current agreement was, specifically how much was the Service Authority asking the Widos to pay. Werle answered $1,000 per month. Brabo said maybe consider an incremental payment over time because any income is still income. She said she doesn't want to inhibit the expansion of a valuable service. Young said he wants to reiterate that previous attempts to bring broadband to the County have failed until KGI came forward and that he doesn't want to wait. Werle committed to calling for a vote on the issue at the next Board meeting.
Next on the agenda was the authorization to advertise a proposed change to the Service Authority's regulations, specifically in Section 9, Paragraph I. This change would strengthen the Service Authority's ability to enforce fines, and increase fines, for meter tampering. This was approved without comment.
Chris Thomas, General Manager, gave his brief report that as discussed during the last meeting, flushing would increase in frequency. He said the Courthouse, Hopyard, and Oakland Park systems were flushed on April 16, 2018 and the Fairview Beach and Dahlgren systems were flushed on April 17th. He said there were very few calls about discolored water but there were several calls in Oakland Park about low water pressure. Thomas said these calls were expected and that they used the KGALERT system and website to give the public warnings about the flushing.
The Board went into Closed Session at 7:04 pm to consult with legal counsel about possible litigation. Unseen to many that attended was that three individuals had previously been directed to the private meeting room before the Board opened their meeting. Those three individuals left the Closed Session meeting at 8:17pm. During that time, Dr. Young and Jeff Bueche left the meeting briefly, presumably for a short bathroom break. During this time Jim Lynch also gave a short speech to the audience about the sign at the front of the room that showed the Dahlgren Railroad Heritage Trail (DRHT) [EDITOR'S NOTE - Neil Richard, a co-founder of Project94, is a member of the Friends of DRHT] and how it was included in the Potomac Heritage National Scenic Trail (PHNST). He also offered to answer any questions anyone may have.
The Board returned from Closed Session at 9:10 pm, over two hours after starting, and adjourned their meeting.
Meeting Attendees:
Christopher Werle (Chairman, Board of Directors)
Christopher Thomas (General Manager of Service Authority)
Richard Granger (Board of Supervisors)
Michael Bennett (Citizen)
Ruby Brabo (Board of Supervisors)
Cathy Binder (Board of Supervisors)
Neiman Young (County Administrator)
Eric Gregory (County Attorney)
Meeting Agenda
Next Meeting:
The Service Authority will next meet on May 1, 2018 at 6:30 pm at the Revercomb Building.
Previous Meeting:
Read about the previous Service Authority Meeting.
The sole public comment came from Kim Dodge. She started by saying there were some positives about the Service Authority but the $38 million in debt was bad news and that there has been no investment in infrastructure. She said it was great news that the rates were not going up next year. Dodge said when she moved here years ago, she paid just over $100 for both water and sewer with five people in her house and is now paying more than twice as much with only three people in her house. She also said Hazel Homes had to construct the infrastructure in Hopyard but she expressed concern over the existing infrastructure in Hopyard being able to handle the increased load of the expected 900 homes and commercial center. She said she has spoken to Mr. Werle, Chairman, about this several times and he told her it would run more efficiently. She said she has started a small business in the County doing massage therapy and found it hard to find an affordable place to operate. She said she does laundry at home for this business and her water bill "is going out of control." She closed by commenting that her Homeowner's Association (HOA) fees would probably be going up because they need to pay for the water in the pool.
The Board then began their reports with Mike Bennett and Richard Granger having nothing to report.
Ruby Brabo said she drove by the well compound in Owens the other day and saw several unmarked SUVs and an open gate and called Chris Thomas, General Manager, to report the suspicious activity. She wanted to remind everyone to say something if they see something. She responded to Mrs. Dodge that the developer of Hopyard, Hazel Homes, wasn't required to build the infrastructure but instead it was a proffer as part of the re-zoning request. In other words, the County didn't force Hazel to build it, instead they offered to build it. Brabo said that if anyone with a pool calls the Service Authority before filling it, they won't be charged for sewer for those gallons used.
Cathy Binder had nothing to report.
Chris Werle said he had nothing to report but thanked Mrs. Dodge for speaking. He said that Brabo had addressed all of the questions but explained further that the debt was acquired through the purchase of the old systems and the debt increased due to upgrades that were mandated by the State and Federal governments. He said the good news is that the debt fees are not going up, assuming of course that there is no new debt taken on. Werle said he's a customer too and as a low consumption user, his debt fees are nearly twice what he pays for water and sewer services. He also explained that the Hopyard sewage plant currently operates at about one tenth of its potential and can be expanded as future demand requires.
The Consent Agenda was approved without comment.
The County Attorney, Eric Gregory, had no report.
KGI Telecommunications then presented a request to the Board. The request, made by Michele, KGI President, and Steve Wido, began with a simple brief about their company and the services they provide. They said they are a local company looking to meet the need for faster internet in King George County by using the 5.8 and 3.65 gigahertz (GHz) bands. They are currently leasing space on two towers and supply broadband internet to 14 very satisfied customers. They listed various benefits to broadband internet such as working from home, streaming videos for college courses, and virtual doctor visits. They said they are currently waiting on approval from the Federal Communications Commission (FCC) to use the 3.6 GHz band and that this was their biggest hurdle at the moment. They have another 200 potential customers that could use that frequency. Their request tonight was to have the Board of Directors waive rent on the Arnold's Corner tower for 18 months, waive building, zoning, and planning fees, allow special use permits for new structures, and to expedite the processing of permits. They closed by saying things were going well but just waiting on the FCC approval.
Granger asked why they were asking for 18 months and if there was a reason for that time frame. Steve Wido said it would give them the needed time to get to the customers on the waiting list and would help their cash flow. Werle asked why there was a sudden change when they had a tentative agreement at their last meeting that was a 12 month lease and seemed to be acceptable by all parties. Wido said they didn't expect to hit a snag with the FCC approval process. He said they had the equipment on the tower but didn't realize it would take such a long time to get approval. Werle asked if they could get a better deal with their other leases and Wido replied that they can't renegotiate a contract because it's already signed and in place. Binder said things didn't sound like they were planned very well. Wido replied that they didn't know it would take so long and that ultimately the Board doesn't have to approve their request. Werle said his concern was that it would be setting a precedent for future companies, then suggested maybe they could waive the fees and KGI could get a grant from the Economic Development Authority (EDA). Brabo agreed. Werle suggested meeting with Chris Thomas, Dr. Young, County Administrator, and Ryan Gandy, Director of Economic Development, to look into the idea of an EDA grant or other potential options. Brabo again agreed and said the Board was happy to continue to negotiate. She also said that while she was sure the Widos did their due diligence, some things are out of their control, especially regarding wait times for government approval. She added that a week ago she met with a customer of KGI and they were very happy at the cheaper but faster connection.
Dr. Young spoke up that he had missed the suggestion. Werle repeated the suggestion that they meet to work out a lease agreement to delay lease payments while customers got on board and the suggestion for an EDA grant to help pay lease fees. Dr. Young asked what if the grant application was denied. Werle said the lease payments would be due when they were due. Brabo said she hoped broadband was important enough to get such a grant. Young said he rarely speaks up during Service Authority meetings but didn't want to see any delays because of his involvement and hard work in getting broadband access to the citizens. Werle said it wasn't being delayed and that there was already an agreement between the interested parties but the Widos are the ones that brought this proposal forward. Brabo asked what the current agreement was, specifically how much was the Service Authority asking the Widos to pay. Werle answered $1,000 per month. Brabo said maybe consider an incremental payment over time because any income is still income. She said she doesn't want to inhibit the expansion of a valuable service. Young said he wants to reiterate that previous attempts to bring broadband to the County have failed until KGI came forward and that he doesn't want to wait. Werle committed to calling for a vote on the issue at the next Board meeting.
Next on the agenda was the authorization to advertise a proposed change to the Service Authority's regulations, specifically in Section 9, Paragraph I. This change would strengthen the Service Authority's ability to enforce fines, and increase fines, for meter tampering. This was approved without comment.
Chris Thomas, General Manager, gave his brief report that as discussed during the last meeting, flushing would increase in frequency. He said the Courthouse, Hopyard, and Oakland Park systems were flushed on April 16, 2018 and the Fairview Beach and Dahlgren systems were flushed on April 17th. He said there were very few calls about discolored water but there were several calls in Oakland Park about low water pressure. Thomas said these calls were expected and that they used the KGALERT system and website to give the public warnings about the flushing.
The Board went into Closed Session at 7:04 pm to consult with legal counsel about possible litigation. Unseen to many that attended was that three individuals had previously been directed to the private meeting room before the Board opened their meeting. Those three individuals left the Closed Session meeting at 8:17pm. During that time, Dr. Young and Jeff Bueche left the meeting briefly, presumably for a short bathroom break. During this time Jim Lynch also gave a short speech to the audience about the sign at the front of the room that showed the Dahlgren Railroad Heritage Trail (DRHT) [EDITOR'S NOTE - Neil Richard, a co-founder of Project94, is a member of the Friends of DRHT] and how it was included in the Potomac Heritage National Scenic Trail (PHNST). He also offered to answer any questions anyone may have.
The Board returned from Closed Session at 9:10 pm, over two hours after starting, and adjourned their meeting.
Meeting Attendees:
Christopher Werle (Chairman, Board of Directors)
Christopher Thomas (General Manager of Service Authority)
Richard Granger (Board of Supervisors)
Michael Bennett (Citizen)
Ruby Brabo (Board of Supervisors)
Cathy Binder (Board of Supervisors)
Neiman Young (County Administrator)
Eric Gregory (County Attorney)
Meeting Agenda
Next Meeting:
The Service Authority will next meet on May 1, 2018 at 6:30 pm at the Revercomb Building.
Previous Meeting:
Read about the previous Service Authority Meeting.
2018-04-19 UPDATE: A previous version of this story incorrectly listed the owners of KGI Telecommunication as "Michelle and Steve Wido" and gave an incorrect spelling of Michele Wido's name. Juan Marte is the owner of KGI and Michele Wido is the President.
2018-04-25 UPDATE: The three unknown individuals that went to Closed Session prior to the meeting starting were later identified as representatives from Virginia Department of Environmental Quality (DEQ): "Jeff Reynolds, Director, Division of Enforcement at DEQ; Kristen Sadtler, Water Enforcement Manager at DEQ; and Ed Stuart from DEQ's northern Virginia regional office" according to an email from Chris Werle, Chairman of the Board of Directors.
2018-04-25 UPDATE: The three unknown individuals that went to Closed Session prior to the meeting starting were later identified as representatives from Virginia Department of Environmental Quality (DEQ): "Jeff Reynolds, Director, Division of Enforcement at DEQ; Kristen Sadtler, Water Enforcement Manager at DEQ; and Ed Stuart from DEQ's northern Virginia regional office" according to an email from Chris Werle, Chairman of the Board of Directors.
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