Permit for utility to build new wastewater plant approved

 Kate Royals, The Clarion-Ledger2 p.m. CDT April 17, 2015

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(Photo: Rick Guy)  Despite strong opposition from city of Jackson officials, the Mississippi Environmental Quality Board voted unanimously to award a permit to the West Rankin Utility Authority (WRUA) allowing it to construct a new wastewater treatment plant.

The WRUA, which provides water and sewer service to 100,000 customers in Rankin County, currently pays the city of Jackson an average of $5 million per year for the cost of treating its wastewater at its Savanna Street plant. However, the utility is citing concerns with management by the city of Jackson, a consent decree imposed by the Environmental Protection Agency and increasing growth in the county as reasons to construct its own facility.

The city of Jackson had representatives at the public hearing and board meeting, saying the new plant would result in rate increases for their remaining customers.

The city of Jackson will appeal the decision, spokeswoman Shelia Byrd said, adding that the new plant would "likely require an estimated offsetting rate increase of 25 percent to cover the costs of the operation and maintenance" of the Savanna Street plant.

Byrd also said WRUA's withdrawal "could eventually result in reduction in the flows allowed under the City's permit ... leaving the City's plant with 'stranded capacity' that it would no longer be permitted to use."

Keith Turner, attorney for the West Rankin utility authority, said a new plant is the best option for WRUA's customers.

Turner said the city of Jackson has cited several different figures, ranging from $100 million to $250 million, as the estimated cost of fixing problems at the Savanna Street plant.

The plant was built in the 1960s and designed originally to service the city of Jackson.

"We don't have a lot of faith in their ability to do cost estimates," Turner said, also noting concerns about "inefficiencies" at the plant.

Byrd responded that cost estimates must be "viewed in context" and that estimates changed based on the inclusion of the cost of enhanced wastewater treatment, which was not an issue at the time of the consent decree.

"In an effort to compare apples to apples, the most recent estimate provided to MDEQ was a high, conservative estimate the included enhanced wastewater treatment, which was $200 to $250 million," Byrd said. "This amount is still significantly less than the inflated WRUA estimate and would still be less expensive to WRUA customers than WRUA constructing a new plant."

Turner said construction of a new plant will cost around $125 million.

Mississippi Department of Environmental Quality officials maintain they don't take a position on such matters, only decide whether a permit meets regulations set by DEQ.

"There's a certain burden the regulations place on the permit applicant. And they have a certain burden of proof, and we told the board yesterday the permit is protective of human health and the environment," DEQ Chief of Staff Chris Wells said of WRUA's permit.

The seven-member permit board takes action on permits administered through DEQ.

The city of Jackson has 30 days to appeal the board's decision, though the permit at this point is valid under the law. If an appeal takes place and the board changes its mind at an evidentiary hearing, that decision could then be appealed in Chancery Court.

"It could theoretically go all the way to the Supreme Court," Wells said of the procedure.

The WRUA, which applied for the permit several years ago, serves the cities of Flowood, Pearl, Brandon and Richland, along with areas of the Pearl River Valley Water Supply District.

Contact Kate Royals at (601) 360-4619 or kroyals@gannett.com. Follow @KRRoyals on Twitter.