Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-07-09
Civic Groups
Plan Farley to
Study Problem
BY PAUL HOPE

water it sells its subsidiary the
Virginia Water Co. by more than
20 per cent, it was disclosed
yesterday.
James S. Keith, a Fairfax
County civic leader, said the pro-
posal, disclosed in testimony at a
recent Virginia State Corporation
Commission hearing, indicates
that water rates for large por-
ton of the county served by
the Virginia company may be
increased.
However. Howard C. Richards,
manager of the Alexandria COM
pany said the increase would
have no effect on water rates for
customers of the Virginia COM
pany.
Will Study Problem
Mr. Keith said the leader Of
several civic groups in southeast
ern Fairfax County are getting
together TO study the water
problem. He said they probably
will ask the Board of County Su.
pervisors to intervene in rate
case pending before the sec
involving the Virginia company.
the Annandale Water Co. and the
Fairfax Hydraulics Water Co.
Mr.. Keith. chairman of the
water subcommittee Of the
county civic federation's utility
committee. said the board should
make a complete study of the
water situation in the SOUTH
eastern part of the county.
Testifying at the sec hear
ing, j. J. Barr. president Of
American Water Works. which
owns the Alexandria and Vir-
ginia companies said that the
Alexandria company is enlarg-
ing its Occoquan reservoir at
cost of So million to 81 million.
1T is certainly quite evident
: that Virginia Water Co. will
t have to pay more for the water
: supplied it by Alexandria" he
/ said.
Cites Proposed Rise
He said that even without
recognizing the So million Of
additional investment by Alex.
: andria in its supply works, it
! appeared that the price to the
Virginia company should be in
creased from 1875 cents per 1000
gallons to 225 per cent.
: Mr.. Barr said the Alexandria
! company plans to submit an APP
plication to the sec for the in
: Grease in the near future.
Mr.. Keith said he had no
doubt that if the increase is
S granted it would mean higher
rates for customers supplied by
the Virginia company
The Virginia company serves
e more than 10000 persons
directly end provides water for
$ the Annandale Water Co.
which serves nearly $4,000 and
Fairfax Hydraulics which serves
: approximately 10000
Cites Revenue Boost
Mr.. Richards said the in
crease would not affect the
rates because the Virginia COM
: PAW is expanding and revenue
f is increasing He said the addi-
S ton of new customers and in
; creased revenues would offset
: the raise proposed in the price
+ to the Virginia company.
i, Mr.. Bars testimony was
: made at a June 20 hearing on
a petition by the Virginia COM
pany to increase the price Of
water it supplies to the AMMAN
dale firm and TO change some OF
the conditions under which it
supplies the Fairfax Hydraulics
company.
Mr.. Keith. a resident of the
area served by Fairfax Hydrau-
lies, said the changes for that
firm would result in an increase
in water rates in the area it
serves-Bucknell Manor, Buck
nell Heights. Holm Hills. For
dam Village. Huntington, Fair
haven and jefferson Manor. all
south of the city of Alexandria.
He said that now Fairfax
Hydraulics only buys from the
Virginia firm in emergencies.
Under the new petition, Fair
fax Hydraulics would have to
buy nearly all its water from
Virginia
officials of Fairfax Hydrau-
lies estimate this would increase
e their costs of operation by
about 40 per cent
y The rate increase requested in
|. water supplied the Annandale
+ company is from IS cents per
r 1000 gallons to 375 cents.
Doubts Reversed
D Mr.. Barr said this would not
!. affect rates to customers of the
|. Annandale firm because the Vir-
/ ginia Water Co. has a contract
e TO buy the Annandale company
\ by September 30.
: Mr. Keith said he has many
doubts" about the proposed ac-
S QUESTION of the firm. He noted
that Mr. Bars testimony showed
Q the sale of the company was
o contingent upon the owners OF
T" the Annandale company reach
Y ing satisfactory agreement
d with the Internal Revenue Bu-
= reau on taxes on the proceeds
of the sale
y He said that If the sale does
= not go through the increase in
i the water price to Annandale
~ undoubtedly would mean an in
. crease" TO Annandale customers.
0 Mr.. Bars testimony also dis
q closed that 100000 was spent by
9 the Virginia Water Co. in fight
o ing last years proposal by the
4 county supervisors to establish
a county-owned integrated wa
" tnV rvetoN,o