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tem) . . . that was not my understanding at first.”
Dr. Krebser suggested an increase in the rates paid by the town’s water users as a method for raising money. “Why do we have such a low rate (the basic charge is $6 for 3000 gallons) when elsewhere the basic rate is at least $12?”
He pointed out water from wells is not free. The cost to a county resident to sink a well, put in a pump and supply lines will be about $2,500, he said. “Over a 20-year loan, that’s $120 a year . . . Nobody gets water for free just because it comes out of a well in the ground.”
Dr. Krebser said that he and his partner Dr. Jerry Martin (owners of the Rappahannock Medical Building), and The Inn at Little Washington “pay one-fifth of the water bill for the town. I don’t mind paying more for the water,” he said, if it is necessary to fix the problems.
“You don’t seem willing to let the people affected pay for the service,” he continued. “I’m amazed at this syndrome - ‘Let outsiders pay for our needs.’ You ought to charge the users more for the water. In fairness, along with the (meals and lodging) tax, that ought to be part of the package.”
Dr. Krebser also suggested that the town explore the possibility of state or federal grants for the system, similar to the package obtained by the Rappahannock Water and Sewer Authority for the construction of Sperryville’s sewage treatment plant.
Charlie Eldred, owner of the Washington House of Reproductions, questioned whether research had been done to determine how much money would be generated by any particular tax rate.
Mayor Morehouse replied that the council estimated that “approximately two million dollars” is generated each year which would be taxable under the proposal.
Mr. Eldred added that “I have felt for some time that if revenue is needed, it should be obtained by as broad a base as possible. A general business tax is available as a tool to the town; I question whether this might not be more fair than a levy on two types of businesses.”
“We are looking at a town of only 230 residents,” Mayor Morehouse said, “with limited business and professional services. Our calculations showed that tax would generate only six to ten thousand dollars total per year.”
“It could be done in combination with another tax,” Mr. Eldred maintained, “thereby lowering the tax on certain specific businesses. I can only say that as one businessman I
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