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Peaks Mill water district warns rates and consolidation likely as costs and regulation bite
Summary
Peaks Mill Water District officials told the Fiscal Court that aging pipes, high water loss and new lead-service rules have pushed the small system toward steep rate increases and left consolidation, sale or shared services among the only sustainable options for 1,250 customers.
Peaks Mill Water District officials told the Franklin County Fiscal Court on Oct. 30 that the small system faces rising costs, regulatory pressure and persistent water loss that together make operating as a standalone utility unsustainable.
Greg Heitsman, a consultant advising the Peaks Mill board, said the district’s aging infrastructure and non-revenue water — roughly 25% leakage plus about 20% of water used for required flushing — have driven operating deficits. "As a standalone entity Peaks Mill water district is not financially feasible long term," Heitsman said.
Heitsman summarized options the board is considering: a rate increase, consolidation or shared services with neighboring systems, or sale to a larger investor-owned company. He said a cost-of-service study…
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