TOAV officials weighing taking control of water system (April 21, 2006)

APPLE VALLEY — It would be less expensive for this town to operate its own water system, a financial consultant reports, but the cost of acquiring two private companies now providing water to the town would exceed $100 million.

A financial adviser, Bartle Wells Associates in Berkeley, calls the issue a balancing act.

In a 41-page report, the consultants have informed the Apple Valley Town Council, The financial feasibility of purchasing the two water systems relies on balancing the benefits of public ownership with the costs of owning, maintaining, and managing the water facilities.

According to the report, it would take 14 years for net revenue of $7.2 million the first year of town operation to pay back the total acquisition cost.


Source: Chuck Mueller, San Bernardino County Sun