The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1994, Landmark Communications, Inc.

DATE: Thursday, September 15, 1994           TAG: 9409150485
SECTION: LOCAL                    PAGE: B5   EDITION: FINAL 
SOURCE: BY MAC DANIEL, STAFF WRITER 
DATELINE: SUFFOLK                            LENGTH: Short :   50 lines

SUFFOLK'S PLAN FOR UTILITY LINES WOULD HAVE RESIDENTS SHARE COSTS

City officials have proposed a solution to the daunting problem of extending $100 million in utility lines throughout Suffolk's 430 square miles.

The proposal, discussed in a work session Wednesday, would require residents to pay half the cost of getting a water or sewer hook-up. The city would pay the other half.

If the on-site cost of a particular water-extension project were $538,000, for example, the city and the neighborhood being served would each pay $269,000. If the neighborhood had 215 homes, the cost per home would be about $1,250.

In addition, residents would be asked to pay a percentage of the cost of water transmission mains, sewer interceptors and other ``off-site'' costs.

Mayor S. Chris Jones said City Council is considering, as a way to keep hook-up costs as low as possible, requiring all homes in a given neighborhood to participate. The council also discussed offering residents long-term, low-interest loans to help them pay their share.

The city has no utility-extension policy now. When a residential area requires water or sewer service, it simply petitions the city and hopes the project is included in the city's capital budget.

The new proposal would require 75 percent of Suffolk residents to sign a petition supporting the project. And when the cost of the project was finalized, residents would have to agree by contract to pay their share of the costs.

Suffolk has 35 subdivisions using well water. Septic tanks are used in 62 subdivisions, said William Harrell, director of public utilities.

There was some protest at Wednesday's work session. Councilman Thomas G. Underwood of the Holland Borough said his constituents were being hurt by the high cost of bringing utilities to his rural town.

``I think this is economic discrimination,'' he said, ``just because you don't live in the right place.''

Jones said some of the preliminary cost figures could be reduced as the city makes progress in hooking up neighborhoods near current water mains.

As the city hooks up more and more residents, Jones said, the costs to those living in outlying areas of the city would gradually diminish.

``It's kind of like a business,'' Jones said. ``You expand into areas where the cost is low.'' by CNB