YOUNGSTOWN THERMAL Customers protest proposed 15% rate rise

The last rate increase city council granted was 7 percent in November 2001.
THE VINDICATOR
By PETER H. MILLIKEN
VINDICATOR STAFF WRITER
YOUNGSTOWN -- Representatives of several Youngstown Thermal customers spoke against that utility's request for a 15 percent rate increase, some of them saying it would be a hardship for them to endure.
"We operate on a very tight budget," said Tom Weems, building superintendent for the Masonic Temple on Wick Avenue. About one-fifth of the temple's operating budget goes for steam for four or five months a year, he said. "I'd hate to see it go up again. I'd hate to see Youngstown end up with another vacant building," he added.
The temple has been plagued with declining membership as lodges have moved to the suburbs over the last six years, he observed. "I don't know how much longer we can continue to operate in the downtown area," he said, adding that the temple will have to explore installing its own boiler or merging with suburban lodges.
From its plant on North Avenue, Youngstown Thermal Limited Partnership supplies steam heat and cooling to buildings in and near the city's downtown.
Public hearing
Weems and others were speaking at a Thursday public hearing conducted by city council's public utilities committee on the proposed rate increase. Carol Rimedio-Righetti, D-4th, committee chairwoman, and Michael Rapovy, D-5th, committee vice chairman, said they were disappointed that no Youngstown Thermal representative showed up for the hearing.
Council granted the company increases of 5 percent in 1998, 1999 and 2000 and 7 percent in 2001, Righetti said. The company had earlier said it is asking for 15 percent this year, retroactive to Jan.1, because of the rising costs of natural gas, water, coal and employee benefits.
"We, too, would like to object to any increase in the cost of heating our church and social hall," said John Terlesky, a member of the church council at Holy Trinity Ukrainian Catholic Church on West Rayen Avenue. The church has an aging membership and limited revenue, he said.
"To ask for that kind of increase, they need to justify it to us. Obviously, we don't want to see an increase at all," said Lou Joseph, assistant vice president at Home Savings and Loan Co.
Letter from center operator
"A rate increase of any amount (let alone such an exorbitant increase) could very well jeopardize already financially struggling buildings," wrote Frank Rubino, manager of Strouss Building Associates, which operates downtown's Phar-Mor Centre, in a letter to the committee.
SBA is trying to attract at least three new tenants from outside the city to the Phar-Mor Centre, which once housed Strouss department store, and one of those three is a large employer, Rubino wrote. "Attracting private business to downtown is already a serious challenge. The rate increase will certainly result in a higher rent than the tenant would likely be willing to pay," he wrote.
milliken@vindy.com