A prominent local businessman asked Mount Airy officials Thursday to consider changing city utility billing policies to address the fact that water taken in by a company isn’t what goes out into the sewage system.
The “evaporation credit” sought by Gene Rees for a business he owns on Frederick Street also could be applied to other large water users in town, based on discussion at Thursday night’s council meeting.
In a special presentation to Mount Airy officials, Rees said his company, Professional Rental Services, is concerned about its water and sewer billing from a competitive standpoint, especially in the wake of recent rate hikes. That business has about 50 full-time employees who wash rented uniforms, restaurant linens, towels and other items.
Rees pointed out that Mount Airy’s longtime billing practice might not be appropriate for such a company. That policy charges customers for the exact amount of water they receive, which is determined by meters. Sewer usage is not metered, but simply billed based on an assumption that its quantity is the same as the water.
“In our industry, that is just not the case,” the businessman told city officials.
Rees said that in 2007, he hired an engineer to conduct a study of his operation, which showed that 34 percent of its water intake is lost due to evaporation through drying and other processes. He added that trade organizations also have generated “extensive data” supporting such findings among other companies.
The local businessman said that utility usage has become a major issue for his operation in terms of its ability to stay competitive and to expand to what he hopes will be an entity with 100 employees. “Water is a very big factor in our costs,” Rees said.
“As a company, we have to have competitive water rates,” he added. “It’s hard to stay in an expensive environment when your competitor is not.”
Rees also said that allowing an evaporation credit to address the difference between water intake and discharges could help the city be more successful in attracting other businesses that are large utility users.
“I want us to be competitive,” Rees told city leaders. “We need to sell water.”
The businessman added that he is aware what he is asking “opens up a can of worms.” But permitting such a credit to be applied to other companies should be done “if that’s what it takes to help create jobs here.”
City officials seemed receptive Thursday night to Rees’ request, although Commissioner Todd Harris said “it is full of pitfalls for the city.”
Commissioner Dean Brown said he was in favor of setting up a study committee to explore the request.
Fellow board member Deborah Cochran also said she favored a fairer policy. “I think we should look out for the best interests of our employers and the city as well,” she said.
City Manager Don Brookshire subsequently was instructed to research a possible solution. “In the next couple of months, we’ll bring it back to you,” Brookshire said of a recommendation. He said that based on how other municipalities handle the standard water-sewer billing, he is not aware of a “template” to accomplish what Rees is asking.
Mayor Jack Loftis said an “awful lot” of consideration will be required for such a change in policy, although individual commissioners said they would like to see this occur.
“We do want to protect our local industries,” Brown said.






