Hot news on the street in Ogden Valley. The word is that Lakeview Water Corporation serving the Ski Lake area has been overcharging their customers for water connection fees for years.
The information we have been able to gather is that the previous owner of Lakeview Water overcharged most, if not all of the customers of Lakeview Water $500 each above the approved tariff (rate) for water connection fees than was approved by the Public Service Commission (PSC).
The overcharges may go back to the early years of the Lakeside Village development.
The information we have obtained is that the PSC approved water connection fee for each customer was $1,000 until January 2008, when the fee was increased in a rate case to $3,500 for each customer. Some customers told us their bills for the connection fees reflected $1,500 up to the rate increase in 2008 and others said it was $4,000 after January 2008. Each customer noted the $500 overcharge on his or her connection fee.
The actual amount of customers affected is not known at this time, but Lakeview Water Corporation serves over 200 customers. That indicates that the overcharges could amount to more than $100,000 dollars.
Some Lakeview Water customers we spoke to say they noted their own overcharges recently and requested a refund from the new owner of Lakeview Water. They said they were either ignored or told that the statute of limitations had expired and Lakeview Water did not have to refund the money. The new owner is squealing like a mashed cat about the refund requests from his customers.
What is known is the new owner of Lakeview Water and Mountain Sewer purchased the two corporations, at a bargain basement price and that that purchase included 66 lots in the Ski Lake area. Those 66 lots alone are worth about $8,250,000 at $125,000 per lot. This is also the same guy that is asking for a $1,300 special assessment from each customer in order to recoup the money to pay for employees salaries at Mountain Sewer that the previous owner did not pay before the sale. This special assessment is in addition to the 159% increase in the sewer fees