PSC holds town hall meeting to discuss Great River issues

Published 11:30 am Thursday, October 3, 2024

Public Service Commissioner for the Northern District Chris Brown held a town hall meeting Tuesday at the Oxford Conference Center to address concerns from residents, particularly those in the Wellsgate neighborhood, regarding Great River Utility’s water and sewer services.

The focus of the discussion was on escalating water bills, alleged questionable financial practices, and ongoing water quality issues, including frequent boil-water notices that have left many residents frustrated.

The Mississippi Public Service Commission denied a rate increase requested by Great River Utility in January due to concerns over the company’s financial data and accuracy.

Email newsletter signup

Brown explained that while their initial investigation uncovered “smoke” suggesting potential issues, they found no definitive “fire.” The Commission has taken steps to conduct a more in-depth investigation, utilizing subpoena power to ensure a thorough review of the company’s operations.

“We’re not saying that they did any wrongdoing,” he said Tuesday. “We’re just doing our due diligence to make sure that we protect you, the ratepayer.”

After the denial, Great River Utility implemented a bonded rate increase. Brown noted that under current law, utilities are allowed to impose such increases by purchasing a bond, which would require the company to refund customers if the rate increase is later deemed unjustified.

The PSC plans to hold hearings on the issue, with the first likely to be held in November. These hearings will be open to the public and are expected to delve deeply into the company’s financial records and practices. Brown said the community’s input is vital and encouraged residents to submit their concerns, bills, and questions to his office to be included in the ongoing investigation.

During the meeting, residents voiced a range of complaints. Some shared stories of skyrocketing bills, with one resident reporting a monthly bill of $211—higher than their electricity bill. Others recounted extreme cases, with bills reaching as high as $600, $800, or even $1,000, particularly for customers with irrigation systems. One resident claimed their water meter recorded 208,000 gallons of water usage in a single month.

Other pressing issues included frequent boil-water notices and low water pressure during peak morning hours.

Brown assured residents that the PSC would investigate all reports.

Brown explained that the PSC began reviewing the company’s financial records shortly after taking office in January and discovered several discrepancies that warranted further scrutiny.

Great River Utility claims to have spent substantial amounts—over $900,000 in wastewater upgrades and nearly $500,000 in freshwater improvements—which they argue justify the rate increases. However, Brown expressed skepticism, pointing out that the utility’s rates are significantly higher than those charged by similar providers across the state.

Should the PSC ultimately deny the rate increase and make formal allegations against Great River Utility, the company is expected to appeal the decision in Chancery Court, where a judge would determine whether the utility has been overcharging customers. If found guilty, Great River could be required to reimburse customers for the excessive charges.

Brown urged residents to continue submitting their bills and concerns to his office via email at northern.district@psc.ms.gov.