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EPA: Hopeful CUC can meet requirements
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Posted on Mar 29 2009
An official from the Environmental Protection Agency says the agency is optimistic the Commonwealth Utilities Corp. will meet the requirements of a consent decree signed between the two parties to compel CUC to adhere to federal regulations governing water, sewer, power, and fuel.
“We’re optimistic. They’ve already met some of the requirements,” said Barry F. Pollock, environmental engineer for EPA’s water division.
Earlier this month, U.S. District Court for the NMI Chief Judge Alex R. Munson signed an order that sets requirements and deadlines for the utility agency to meet.
In November, the Department of Justice and EPA filed a civil suit against the utility agency for failure to comply with the Safe Water Act and Clean Water Act for years. The suit was accompanied by two stipulated orders, which means that the CNMI government agreed to the terms and conditions being required of it by the EPA.
Pollock said CUC has already met some of the major requirements, including hiring Bruce Megarr as deputy director of the Water and Sewer Division.
According to a presentation before the Legislature last month, the cost incurred for 2009 to complete the necessary projects to meet the requirements is $5.8 million. For 2010, the cost decreases to $3 million and in 2011 it drops to $2.8 million.
The biggest obstacle, Megarr said, is funding. The current sewer rates were set in 1987. The current water rates were set in 1995.
The Public Utilities Commission is set to vote on rate increase this week. At a PUC public hearing last week, Larry Gawlik, a consultant with Georgetown Consulting Group, said he estimates millions of dollars are being lost from the wastewater division because of a loophole in the law that allows for some non-residential customers to go unbilled for service.
When PUC commissioner Kyle Calabrese asked Gawlik at the hearing if he thought CUC could comply with the decree, Gawlik said:
“I can’t answer definitely yes, but I do think they’re moving in the right direction.”
During the hearing, Antonio Muna, executive director for CUC, said every dollar within the water and wastewater division was being used to be in compliance.
