The City Council would get the last word on the Honolulu Board of Water Supply’s budget under a plan voters could be asked to consider in the 2014 election.
The appointed, seven-member water board would be stripped of other powers as well under a charter amendment proposal, Resolution 13-177.
Council Vice Chairman Ikaika Anderson said he introduced the resolution to deal with public concerns that the panel is not accountable for its actions.
Besides giving the Council final approval of the board’s operating and capital improvement budgets, the charter amendment would:
» Require the board to notify the Council whenever it wants to obtain land by condemnation, and allow the Council to reject such a transaction.
» Require members of the water board and its employees to follow standards of conduct.
The board would retain its authority to establish rates for its customers and continue to be the final authority on the agency’s priorities and policies, including hiring and firing its manager-chief engineer. That position has been held by Ernest Lau since February 2012.
Anderson said people from across Oahu have raised concerns through a number of years about the water board’s policies.
Earlier this year the board drew fire when it switched from a bimonthly billing system to a monthly cycle and, as a result, doubled the amount customers paid each year on billing charges. Instead of paying the fee, currently $7.70 per bill, six times a year, customers now pay it 12 times a year.
(The fee was $7.02 until July 1, and is scheduled to increase to $8.44 on July 1, then to $9.26 on July 1, 2015.)
Lau said the extra charge was needed to cover existing and new expenses for maintenance, repair and replacement of customer meters and related costs.
News stories also surfaced several months ago about overcharging of some customers due to glitches in the billing system.
The water board also raised eyebrows in 2011 when it approved a 70 percent increase in water rates over five years.
At the time, agency officials noted the increases were necessary to pay for a six-year upgrade of the island’s aging water system. They also noted that the last increase was in 2006, and before that, in 1995.
Anderson said that he was a Council aide when the 2006 increase took effect and people were outraged when they learned the board was giving its executives bonuses.
He said he is tired of getting complaints from the public about the water board that he cannot do anything about as an elected Council member.
"The Board of Water Supply has a lack of direct accountability to its ratepayers, who are also the voters of the City and County of Honolulu," Anderson said. "It’s frustrating that the Council cannot take action on a Board of Water Supply matter after our constituents call demanding that we take action."
The proposal is not a power grab, he said, noting that the water board would still be left with semiautonomous powers similar to that of the Honolulu Authority for Rapid Transit. The Council has stayed out of the affairs of that agency, he said.
"I think that’s a solid litmus test," he said.
To get on the ballot, the resolution needs three approvals by a two-thirds’ vote of the Council. The first vote is Wednesday.
A board spokeswoman said Lau and the board will give their views on the resolution at the meeting.
Mayor Kirk Caldwell, in a statement, said, "I’m not convinced that the proposed charter amendment taking independence away from the BWS board is the solution right now."
Caldwell said he has met twice in recent weeks with agency leaders to discuss "their billing and infrastructure issues." The board is adding more customer service representatives to answer customer questions and ensure residents they receive accurate bills, the mayor said.
"They are actively working to solve their billing problems, and I believe we should give them the opportunity to fix it before considering a charter amendment to change their financial structure."
To read Resolution 13-177, go to bit.ly/18ZUjpG.
