THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Tuesday, June 6, 1995 TAG: 9506060263
SECTION: LOCAL PAGE: B1 EDITION: FINAL
SOURCE: BY ALEX MARSHALL, STAFF WRITER
DATELINE: VIRGINIA BEACH LENGTH: Long : 200 lines
Ignoring their traditional borders, civic leaders in Virginia Beach and Norfolk Monday called on their politicians to end the tough talk and reach a compromise on the Lake Gaston pipeline.
Retired Navy Capt. Leslie K. Fenlon, president of the Virginia Beach Council of Civic Organizations, and James F. Janata, president of the Norfolk Federation of Civic Leagues, said the two cities must address the ongoing dispute with something other than short-sighted self-interest. A long-term water source, such as Lake Gaston, is important to the entire region, they said.
Even as the civic leaders were making their plea, Virginia Beach officials were drafting a point-by-point rebuttal to statements made by Norfolk in a full-page advertisement that ran Sunday in The Virginian-Pilot and The Ledger-Star.
``It seems to be degenerating into a name-calling contest,'' Janata said at a press conference at the Virginia Beach Central Library.
Gene A. Waters, president of the Chesapeake Council of Civic Organizations, and Talmadge C. Jones, president of the Suffolk Federation of Civic Leagues, flanked Janata and Fenlon in support.
The intervention of civic groups in a regional dispute was unusual. Janata and Fenlon suggested that residents might take an even more active role should politicians fail to resolve the issues soon. Each organization represents scores of civic associations and thus claimed to collectively speak for tens of thousands of Hampton Roads residents.
The press conference Monday was spurred by news events indicating Virginia Beach and Norfolk are unable to agree on how much Virginia Beach should pay Norfolk to support the pact.
North Carolina and Virginia Beach have agreed to a deal that would settle the 12 1/2-year legal wrangling over the pipeline. But the agreement is contingent on Norfolk limiting its sale of water. Norfolk was not involved in the negotiations and reacted angrily to the proposed limit on its water sales.
Virginia Beach has agreed that it should buy or reserve a portion of Norfolk's surplus water for about 30 years in exchange for Norfolk's endorsement of the agreement. But the two cities have been unable to agree on a price that Virginia Beach would pay to Norfolk for its water, and the settlement must be ratified by June 27. After that date, Virginia Beach and North Carolina would have to renegotiate the agreement.
Fenlon said Janata called him last Friday afternoon and said ``We've got to do something.'' Norfolk's full-page advertisement Sunday increased their resolve, they said.
The two also said that the local media had helped, at times, to enflame passions. In particular, the civic leaders criticized The Virginian-Pilot and The Ledger-Star for a sharply worded editorial that said Norfolk was trying to profit financially from Virginia Beach's predicament.
``The words were poorly chosen,'' said Fenlon. ``There was no `gouging' '' intended on Norfolk's part.
Fenlon also criticized Norfolk's full-page advertisement.
``It was a finger-pointing exercise,'' Fenlon said. ``All it did was antagonize.''
Norfolk Mayor Paul D. Fraim said he welcomed the help and viewpoints of the civic leagues. But he said no further negotiations between the two cities were scheduled and that the burden was on Virginia Beach to take the next step.
``When the Beach tells us they have made a final offer, and we say, `That is not acceptable,' and we counter with an offer, and they say, `When we say final, we meant final,' I don't know where you go from there,'' Fraim said. ``It seems like the burden is on them.''
Virginia Beach Mayor Meyera E. Oberndorf said she welcomed the civic leagues' participation. She said the civic league leaders should remember that they would ultimately bear, through their water bills, the burden of any agreement Virginia Beach and Norfolk reach.
``I'm happy that the civic leaders have united in asking us to resolve this,'' Oberndorf said. ``They are giving us carte blanche. For ultimately, they will be the ones that will be the rate payers.''
The rare involvement of civic league leaders in a regional dispute is a result of closer ties formed among neighborhood associations over the past year. This spring, civic organizations from across Hampton Roads held the first grass-roots regional conference on civic cooperation.
Waters, president of the Chesapeake Council of Civic Organizations, pointed out that his city was also paying for the construction of the Lake Gaston pipeline, needed water and had something to lose if the project were not completed.
``When the cities make a major investment, we don't want it to be delayed,'' Waters said.
Although Fenlon and Janata offered greater citizen involvement, they mostly urged the politicians to make a deal.
``Let our politicians come through for us,'' Fenlon said. ``They are the ones who must do it. Get in a room, and let's do it.''
Another sticking point in the proposed agreement is a section calling for the encouragement of a regional water authority. Norfolk has viewed this as a threat to the viability of its system, which holds the bulk of the region's water. The civic leaders were willing to consider such an authority.
``We should look at a regional water authority and see if it makes sense,'' Janata said. ``If it does, then we'll support it.''
Fenlon added that he would support including the Lake Gaston pipeline, if built, in a regional water system. MEMO: Related article on page B3.
STATEMENT BY VIRGINIA BEACH MAYOR MEYERA OBERNDORF ON MONDAY
It is not now nor has it ever been the intention of the City of
Virginia Beach to conduct sensitive discussions regarding the Lake
Gaston pipeline in the news media. Although we acknowledge the public's
interest in this very important issue, we believe little good is served
by acrimonious statements from any party. We call on Norfolk to join us
in maintaining this dialogue in a civil manner.
It is very important for all citizens of Hampton Roads to remember
that everyone is pursuing the same goal, a safe and reliable water
source for our region. Norfolk continues to acknowledge its support for
Lake Gaston, and we appreciate that. Likewise we do not wish to do
anything that would harm Norfolk's water system in which they (and
Virginia Beach) have made significant investments (including $100
million to upgrade their treatment plant.) Virginia Beach genuinely
wants regional cooperation on a host of concerns, including water, and
we do not want this episode to harm a relationship which, by necessity,
must be ongoing.
That said and to set the record straight, we must respond to several
points made in Norfolk's full-page advertisement in Sunday's
Virginian-Pilot/Ledger-Star:
Claim: ``Norfolk was not extended the courtesy of being represented
at the bargaining table.'' Indeed, neither Chesapeake, Suffolk,
Franklin, Isle of Wight County nor Southside Virginia were represented
because only Virginia Beach, North Carolina and the federal government
were parties to the lawsuit that prompted the ``bargaining.'' Mediator
John Bickerman, in fact, has said that there would have been no
settlement had all parties been at the table.
Claim: ``The agreement with North Carolina restricts our (Norfolk's)
sales area.'' The agreement permits Norfolk to sell its surplus water to
any locality in southside Hampton Roads or Northeastern North Carolina.
At a fair price, a market will always exist for that supply. No state or
federal agency has ever envisioned Norfolk's water being sold north of
the James River, and Newport News, in particular, is on record as saying
it has no interest in that supply. Norfolk's insistence that it has a
market in Newport News or the Eastern Shore is therefore a perception
not grounded in reality. Despite this, Virginia Beach would have
preferred that any language restricting Norfolk's water sales market be
dropped from the agreement. It is North Carolina that insisted on this
provision.
Claim: Virginia Beach seeks a price for water that it ``alone deems
fair.'' We are after a price that is fair to both parties. Please
remember: Public utility law is this country considers water a public
health necessity, not a marketable commodity. Virginia Beach believes
Norfolk is due money to cover its costs and provide it a fair return on
its investment. Norfolk will receive both in the services contract
signed with Virginia Beach to treat and convey Lake Gaston water. An
additional 60 cents per thousand gallons plus an escalator for surplus
water would simply be profit to Norfolk.
Claim: Norfolk citizens have ``paid more for water than Virginia
Beach.'' Of course the wholesale rate that surplus water is sold to
Virginia Beach is less than the retail rate Norfolk residents pay
because that latter charge includes the many costs associated with
customer service and distribution. Once Virginia Beach adds its customer
service and distribution charges, however, its retail rates are higher
than Norfolk's, and they have always been so.
Claim: ``Norfolk was the first community to go to water rationing in
the last drought.'' It is true that in the 1981 drought, Norfolk's
residents went on rationing before Virginia Beach's. The reality is that
Virginia Beach City Council had to await a decision by Norfolk City
Council to impose rationing. When it did, rationing began immediately.
Since that time, however, Virginia Beach has been considered a surplus
customer and has had to restrict water use while Norfolk has not.
Claim: ``An arbitrary 60-day deadline has been imposed on us
(Norfolk.)'' As anyone who has followed this saga knows, our costly
pursuit of Lake Gaston is now in its 13th year and Virginia Beach
citizens have been under mandatory water restrictions since February,
1992. It is time for it to end. The Federal Energy Regulatory Commission
(FERC) committed to complete the Environmental Impact Statement on the
pipeline by the end of June, hopefully in our favor. It is not in
anyone's interest to request a delay in that decision when 60 days is
ample time to discuss and settle outstanding issues.
Claim: Virginia Beach has ``walked away from the negotiations.'' A
fair offer remains on the table, and Virginia Beach is willing to
discuss it.
Claim: Virginia Beach limited ``the entire state's horizon's by
signing an agreement that says Virginia will never transfer additional
water from Lake Gaston.'' By this statement, Norfolk suggests that there
be no limit on withdrawals from Lake Gaston. This is completely contrary
to the view of Southside Virginia which Norfolk notes in its ad is
``violently'' opposed to the pipeline project. A cap is the only
compromise solution, and we support it for the protection of the Roanoke
River Basin.
To repeat, Virginia Beach does not want anyone to be the villain in
this important chapter in our region's history. Winning the blame game
does not bring us water or the cooperation the citizens of both of our
cities demand. Our water task force is working diligently with all
parties, including Norfolk, to reach consensus, and we are hopeful of
success.
ILLUSTRATION: Color photo by STEVE EARLEY, Staff
From left, James F. Janata of Norfolk, Talmadge C. Jones of
Suffolk, retired Navy Capt. Leslie K. Fenlon of Virginia Beach, and
Gene A. Waters of Chesapeake, appear at a press conference at the
Virginia Beach Central Library Monday.
KEYWORDS: LAKE GASTON PIPELINE WATER SUPPLY PLAN by CNB