Glen Head civics call for takeover of New York American Water

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On the civic front of the New York American Water issue, Glen Head-Glenwood Civic Association President George Pombar shared the organization’s efforts to combat the inequitable water rates imposed on taxpayers.
Due to higher local property taxes assessed to the utility — roughly $4.2 million in property taxes — two thirds of NYAW customers’ bills in Sea Cliff and Glen Head consist of surcharges.
Pombar explained that although recent legislation proposals from State Sen. Carl Marcellino and Assemblymen Michael Montesano could amend the issue if passed, local customers would still pay at least five or six time greater rates for their water as opposed to residents served by a public water municipality.
“In Great Neck, which is served by a public water company, residents pay roughly $8 to $10 a month in water bills,” he said.
Pombar explained that even if the property tax surcharges were removed from NYAW water bills, ratepayers in Sea Cliff and Glen Head would still pay considerably more for their water as compared to their neighbors.

“Removing the surcharge would result in a 65 percent bill reduction, so as opposed to customers paying $300 a month, they’d pay roughly $120 a month, but that’s still five to six times greater when compared to what neighboring municipalities pay for a public water service,” he said.
The civic association has formulated a legal team to address finding solutions to the NYAW problem. The subcommittee consists of a half dozen attorneys from both towns, including Sea Cliff Village Administrator Bruce Kennedy and James Versocki.
One solution the team discussed was a local or state takeover of the company. “If we wanted to remove New York American Water, the town would have to establish its own water district in place of it,” Kennedy said.
The proposed takeover would require either the state or the town to issue a bond to remove NYAW, which would be paid off over the course of 30 years, according to Pombar. “If the state issued a takeover they’d pay off the bond, but if the town issued a takeover, the residents would end up paying for it.”
Kennedy said that although he believes the state can accomplish a government takeover, there is a bigger issue than surcharges at hand. “We’re paying more than adjoining districts because [public water municipalities] operate under a no-profit motive,” he said. “We’re being treated unfairly and inequitably because New York American Water is over collecting on surcharges, and they keep a certain portion of it.”
The Town of Oyster Bay is joining and supporting the Sea Cliff and Glen Head residents in the fight against NYAW, according to Supervisor Joseph Saladino. “Side by side comparisons with local waters districts clearly demonstrate the disparity, and quite frankly, the injustice being perpetrated upon residents serviced by New York American Water,” he said. “The inequity of this is obvious and I will never stand by silently as this unfair practice is allowed to perpetuate.”
In response to the legislation from Marcellino and Montesano, which will be considered once the state legislature convenes on Jan. 3, Pombar said that the fight over water is a “never-ending issue.”
“Even if we resolved this now, we’re still going to be looking at it in a year,” he said.