News Feature | June 16, 2015

Smart Meters Ripping Off Customers?

Sara Jerome

By Sara Jerome,
@sarmje

Smart water meters used in the Chicago suburb Tinley Park are overcharging customers, according to an investigation by the Chicago Tribune.

The probe found that the meters, which the village bought for $1.8 million, “regularly overstate how much water has gone through them, resulting in overcharges.”

The village has failed to adequately address the problem, according to the investigation.

“When the village found bad meters, it repeatedly did not fully refund residents. It has tried to explain away the problem in ways contradicted by its own records, including understating by at least half the number of overbilling meters it has documented. And those records lack details on how thousands more meters have failed — making it impossible to determine the true number of meters the village has discovered with the problem,” the report said.

Bob Soga, a retired Public Works employee, summarized the situation like this: "This was a disaster from the first day." Officials downplayed the extent of the problem, saying it is isolated and insignificant. They said they catch most errors.

"The meters don't overcharge. They misrecord what's going through," said Public Works Director Dale Schepers. Officials “don't just take the numbers and send out bills and then, you know, actually overcharge people."

Here are a few additional findings from the Tribune investigation, per Patch, which noted that $90,000 has been refunded to customers:

  • at least 355 meters were issuing faulty readings, more than twice the number the village told residents about
  • residents say they have a difficult time getting the village to acknowledge the overcharges, as long as 16 months in one case
  • when the village discovers faulty meters, it hasn’t issued accurate refunds
  • village records lack details on meter failures, which could number in the thousands

The village issued a statement in response to the investigation, noting that it is considering an audit of its water meters:

The Village of Tinley Park is aware of the questions raised about its water meters and billing procedures, and staff is in the process of seeking input from the Village Board on the possibility of utilizing one or more independent, external experts to review its water meters and billing procedures.

“Our goal is to reinforce the confidence Tinley Park citizens have in their government, and an independent study has the potential to do that,” Acting Mayor David G. Seaman said. “We want to make sure the study reviews our water meter and billing system from top to bottom, and we want them to make recommendations on best practices where appropriate.”