Audit slams Atlanta water billing, shutoffs

By D.L. Bennett

The Atlanta Journal-Constitution

First, Atlanta mishandled last year’s water rate increase. Then it screwed up sending out bills.

After that, water and sewer officials improperly cut service for some Atlanta residents.

And now, Atlanta’s Watershed Management Department denies doing anything wrong.

That comedy of errors — and the conflict over what happened — will be sorted out Tuesday as the Atlanta City Council utilities committee hashes out the results of the city’s latest internal audit.

“The facts are pretty straightforward,” said Leslie Ward, the city’s auditor. “The real story has been in the aftermath. I don’t think I’ve ever done an audit with indisputable evidence and the staff completely agreed with what happened, only to have the head of the department completely deny it. This is a new experience for me.”

Ward’s audit, released Monday, comes with four recommendations that basically suggest the department review and revamp billing regulations so that rules are clear and deadlines certain. They also suggest the city find residents whose water was improperly cut off and refund any fees they incurred. Ward only sampled some accounts. So she did not estimate how much that might be.

Commissioner Rob Hunter of Watershed isn’t giving ground on the audit at all.

He disputed all four findings and is prepared to make his case during the showdown with auditors.

“We have substantial disagreement with the findings of the audit,” Hunter said through a spokesman.

The council ordered Ward’s audit earlier this year in reaction to a series of complaints about service being shut off, especially in Buckhead. The dispute began July 1, 2008, when the city was supposed to apply a 27.5 percent rate hike to monthly bills.

However, the department wasn’t ready and didn’t apply the hike to bills until 30 days later.

By December, the department decided to go back and bill for the amount it would have collected if it had applied the new rates on July 1. Ward said the department’s own records show the change was poorly communicated, that the back billed amount was often listed in error as late and that triggered some shutoffs that should not have occurred. She did not detail how many.

The controversy created a firestorm among the wealthy and politically connected Buckhead community where residents weren’t warned of the shutoffs or expecting such action. Many complained they were shut off even though they had already made a payment or mailed one.

Hunter became a daily target of television reports on customers with billing errors and poor customer service. The commissioner eventually held a press conference at city hall, broadcast live by one local channel, to explain the city’s side.

Council member Carla Smith, who chairs the city’s utilities committee, said she’s been looking at how other utilities handle billing to see if the city should change its regulations. She said Ward’s audit includes recommendations the council likely can accept.

“There are recommendations I’m sure the council will look at implementing immediately,” Smith said.

Hunter has been consistent throughout the lingering controversy. He has steadfastly maintained that every action taken by his department was authorized by city code and correct.

Get information about city bills or service

Atlanta water/sewer customers with billing or other service issues should call 404-658-6500 or send e-mail at watershedhelp@atlwater.com.

The city encourages customers with issues that can’t be easily resolved, such as large water bills, to pay the disputed bill and then fill out a form available on the department’s Web site at http://www.atlantawatershed.org.