Bath officials to review BEGWS bond
By ROB PRICE THE COURIER-ADVOCATE

BATH - Village officials Monday will continue their review of a proposed $9 million bond issue that would finance a general upgrade of the municipality's electricity infrastructure.

Bath Electric Gas and Water Systems has proposed the renovation, with Director of Utilities Matthew Benesh warning public consumption of electricity is approaching the utility's capacity during peak hours.

But costs are rising. A year ago, BEGWS estimated the upgrade would cost $5 million. Benesh last month blamed the revised $9 million price tag on the soaring cost of electric transformers, a key component of the proposed upgrade. BEGWS plans to purchase about 2,000 transformers as part of the project, he told The Courier.

Revenues from BEGWS's 4,500 electric customers would pay for the upgrade, and the utility already has applied to the New York Public Service Commission for permission to raise rates.

The Commission, however, has not taken action on the request, and Bath Mayor David Wallace last month expressed concern over the possibility the village might wind up being solely responsible for repaying the bonds. The issue was tabled at last month's village board meeting for further review.

In an interview with The Courier, Benesh said the bonds would have a 30 year term with annual payments of $700,000 for principal and interest.

The village's consumption of electricity has been rising steadily, as more customers use home computers and, in the summer, air conditioning systems. Winter consumption also is hefty, with many village residents heating solely with electric systems.

The general plan for upgrading BEGWS's electricity infrastructure involves replacing five electric substations with a single, more efficient substation, to be located on the site of the current Fairview Drive substation. That facility was installed the1950s, according to Benesh.