Assembly frets over rules for LIDs

PALMER — Changes to the way the Mat-Su Borough facilitates installation of natural gas lines appear to be in the works.

At a March 5 meeting, the borough considered, but eventually postponed until May, a proposal that would raise the limit needed to create a Local Improvement District.

Those districts — referred to commonly as LIDs — are created when more than 50 percent of homeowners in a given area vote to implement them. Everyone in the proposed area is then taxed to extend the lines. But that line has only been at the 50 percent threshold for the past two years. Before that it was 75 percent. The proposal would restore the old threshold.

“In the couple of years that I’ve been on the assembly these natural gas LIDS are frankly something that keeps me up at night,” said Assemblyman Warren Keogh, who proposed the change.

Some who testified in favor of the change said the current system makes it too easy for neighbors to rope in unwilling homeowners.

“Neighbors who don’t want to pay $10-$40K for something they don’t want aren’t the enemy. Bureaucracy is,” Sherry Jackson testified.

Others were opposed to the entire system, saying that the borough is helping the Enstar natural gas company build out its infrastructure.

Adding to the complications was an opinion borough attorney Nick Spiropoulos received from the attorney who counsels the borough on bond propositions. That opinion says LIDs don’t have to be contiguous, which would seem to mean that neighbors who don’t want to participate could be left out of the boundaries of the districts.

“I definitely agree and feel for the people who have testified to having these utilities kind of forced on them by their neighbors,” Assemblyman Steve Colligan said.

But he said he didn’t think the proposal was ready to be passed quite yet. He eventually made a successful motion to delay the question until May 21 meeting.

Keogh had proposed passing the threshold change and instructing staff that contiguous boundaries aren’t required. But his colleagues didn’t think that was a good idea.

“I’d like to see this amended if we’re going to do that non-contiguous,” said Assemblyman Vern Halter. “I think that’s a huge problem we should think that out a little bit.”

Assemblyman Ron Arvin, attending the assembly meeting via telephone, pointed out that if the rules were implemented that way, homeowners who wanted to bring the costs down could leave out some unwilling homeowners but rope in others, so long as the math came out to 75 percent in favor.

And what about people who vote against it but later want to hook in, assembly members asked. How would they be asked to pay for it?

“I’ve got constituents that want gas, that want LIDs and I’ve been at that table when they couldn’t get 75 percent and we had to say no all the time because they couldn’t get people to respond,” said Assemblyman Jim Colver, who also participated in the meeting via telephone.

Contact reporter Andrew Wellner at andrew.wellner@frontiersman.com or 352-2270.