Avondale collecting higher Graniteville rates

Time to pay up.

That's the word from the lawyer representing Avondale Mills to the company's Graniteville water and sewer customers. It follows a South Carolina Supreme Court ruling that ended a Circuit Court's temporary injunction of higher rates imposed in July by Avondale.

"The people need to pay the bills and I would hope they would go ahead and do that and get this issue behind them," said Avondale attorney Terry Richardson Jr. on Friday.

He said a Supreme Court decision Wednesday allows Avondale to collect on higher water and sewer rates that were approved in June and first billed in July, and are being disputed by customers as well as some state lawmakers. He said a letter will be mailed to Avondale's customers in the next week advising them of a deadline for paying the past charges before having late fees or service disconnections occur. He said he couldn't recall the time frame for that deadline.

Not everyone, though, agrees with the ruling, which negated the injunction granted by Aiken circuit court Judge Jack Early in August. The Supreme Court found that the water issue shouldn't have gone to a circuit court but instead falls under the jurisdiction of the state Public Service Commission and state appeals court.

On Friday, Aiken County Sheriff Michael Hunt and Joe Taylor, both Graniteville residents, filed a request with the PSC asking the board to prohibit Avondale from collecting on the new rates from June 26 to July 25, arguing residents weren't given proper notice and shouldn't have to pay higher bills prior to July 31.

In some cases, bills were hundreds of dollars higher, and residents argued they would have adjusted their watering if they knew when the new rates would be effective. Avondale has argued that proper notice was given.

On Friday, 97-year-old Graniteville resident James Randall said he believed Avondale had "slapped it to us pretty fast" by asking for payment soon after the Supreme Court ruling.

"I've always tried to be a good citizen of Graniteville. I was born here ... and I hate to see this happen to us," he said.

Charles Terreni, a PSC spokesman, said Friday that the board would need to examine the residents' request. The board doesn't have a meeting scheduled for next week. He said a called meeting requires at least 24 hours' notice.

"The only thing that would keep the rates from being billed was the circuit court's injunction," he said, adding, "The PSC does not have any order in place preventing collection of the rates."

Still pending, he said, is a previous request by residents for the PSC to readdress the fairness of the new rates.

Mr. Richardson said that despite yet another request to the PSC, Avondale plans to collect. He said that should the PSC place its own injunction on the new rates, Avondale would also appeal that decision to the state's high court.

The PSC originally approved Avondale's request for a higher rate in June. Avondale had argued that for many years it had provided water at a much reduced rate and finally needed to increase its costs because of lost revenue following the closing of its area mills.

The new rates were initially approved by the PSC in June, only to be halted by the board Aug. 5, then reinstated Aug. 12. Since then, the board has met several time to reconsider the rates.

On Friday, state lawmakers who had fought to get the circuit court injunction for residents said the latest development was a setback but that they would continue fighting.

"We're disappointed, but at the same time we're going to continue to do what we think is right," said state Rep. Tom Young, R-Aiken.

Reach Preston Sparks at (706) 828-3851 or preston.sparks@augustachronicle.com