A18 The Daily Tar Heel Thursday, August 25. 1977
Southern Bell, Duke Power to raise utility rates again
By HOWARD TROXI.ER
UNC students living off-campus will
pay more than $100 more for telephone
service and electricity this year,
according to statements released by
Southern Bell and Duke Power
Both utility companies raised rates
more than 15 percent after they bought
the University-owned electric utility
franchise and the Chapel H illTelephone
Company last spring.
During negotiations of the sale, the
companies announced increases from
the rates imposed by the state-owned
franchises that would bring the local
rate up to statewide standards. The
biggest increases are for monthly rates.
Drinking, eating, dressing,
driving; student consumers
make merchants happy
By BERNIE RANSBOTTOM
Without students there would be no
UNC, and without UNC there would be
no Chapel Hill, right? Maybe.
Students spend a lot of money in
Chapel Hill stores surveys and
, studies indicate it totals almost $2.5
million for clothes and $5 million for
groceries, plus huge amounts for beer,
wine, auto expenses and dining out.
But these same studies show that
students spend even more back in their
home towns and in the Triangle area's
two large cities, Raleigh and Durham.
More than 60 per cent of UNC students
buy outside the Chapel Hill area.
Yet Chapel Hill merchants are
concerned about enticing student
shoppers into their stores. Many cater
almost exclusively to the college crowd,
despite two surveys that show students
spend most of their money elsewhere.
Merchants would experience a
temporary, but not fatal, setback if there
were suddenly no students in Chapel
Hill, says Joe Augustine, executive
director of the Chapel Hill-Carrboro
Chamber cf Commerce.
Chapel H ill would not only survive, it
would continue to grow and flourish,
based on information contained in
surveys conducted four years ago by
Robert McLeary and Associates of
Raleigh and, more recently, by UNC
sociology professor John Reed.
"The students themselves generate
considerable traffic, but not as much as
you may think," Augustine said. "If the
academic affairs division were to shut
down, you would take away a slice of
maybe 50 per cent."
Most of that, however, would be due
to the loss of faculty and staff business
which, the surveys indicate, amounts to
considerably more than student
Almost 34 per cent of Chapel Hill's
residents are employed in education
related jobs, most with the University.
In 1976, the UNC payroll accounted for
56 per cent of the combined total
personal incomes of Chapel Hill and
Chapel Hill is better equipped now to
survive without student business than
ever before, Augustine said, because it
has developed revenue sources besides
those generated by the academic affairs
division of the University.
N.C. Memorial Hospital, retired
residents and Chapel Hill's atmosphere
are among the most important of these
"The University has not grown in the
last seven years, except in the division of
health affairs," Augustine said. "Chapel
Hill is continuing to grow in spite of
itself. Part of that is due to our 'hidden
industry,' the retired persons."
And. he said, "People have found that
Chapel Hill is a nice place to live." More
people are living in Chapel Hill and
commuting to the Research Triangle,
Durham and Raleigh.
Despite surveys telling them that
students spend less than 40 per cent of
their dollars in Chapel Hill most in
restaurants and on automotive expenses
Chapel Hill merchants continue to
make a concerted effort to draw student
A good example of this was
"Merchant's Day," an annual back-to-school
event held Tuesday. Downtown
merchants offered special discounts and
giveaways to draw student shoppers to
"We really appreciate the student
business," said John Southern, owner of
Village Opticians. "Fifty to 75 per cent
of our customers are students. We miss
them dearly in the months they're gone.
Many of our customers are former
students who have left Chapel Hill."
"We iove the students and have for
over j0 years," said James Davis, owner
of U niversity Florist. "We could make it
without them, but we wouldn't want to
have to try. Let's face it without the
students it wouldn't be Chapel Hill."
Student business may account for
more than it receives credit for. The
Reed study found that UNC students
drive 12,000 cars, 20 per cent of which
were bought in the Triangle area. One
half of those cars are serviced by local
Thirty-five per cent of students visit a
commercial restaurant at least once
every two days, and 25 per cent eat at a
fast-food establishment once every two
One hundred per cent of locally
consumed beer and wine is purchased in
local bars, convenience and grocery
stores, Reed found..
Thus merchants work to encourage
student spending in Chapel Hill
although they know students won't
spend all or even half their money here.
Even 40 per cent of student expenditures
amounts to quite a bit of money,
however. And, as Southern said, "Any
business is good."
SLEEP WELL TONMSHT
IS ?3 THE (JOB.
I 563-3111 S
j03 3 i 2 Z
installation charges and security
Southern Bell has a $20 installation
charge for telephones already installed.
Installation of a new telephone costs
$24. Duke Power does not charge for
The telephone company's standard
local tariff for a city the sie of Chapel
Hill is $7.50. a $1 increase over the
Chapel H ill Telephone Company's rate.
Duke Power increased its rates an
average of 17 per cent over the
Utility companies are required by law
to charge uniform rates statewide.
()n-campus students will be affected
this year only by the increases in the
costs of telephone service. The cost of
electrical services are included in a
student's dormitory rent. Students in
dormitories do not have to pay security
Off-campus residents are not as
Duke Power charges deposits up- to
$75. depending on the type of service.
Fcr example, a tenant in all all-electric
apartment pays a higher . deposit.
Southern Bell's deposits are computed
individually for each customer and are
based on the customer's average
According to state regulations, utility
companies must pay the customer six
per cent interest on deposits kept for
more than 90 days. A deposit may not be
more than two months . estimated
Deposits must be refunded at the end
of each year, provided service has not
been disconnected because of non
payment and no more than two monthly
payments in the past year have been late.
Methods of avoiding a deposit
payment or to get one back after it has
been paid include:
Owning the home of property
which will receive the service.
Having been a customer of a
similar company within the past two
years. During the last year, service must
not have been disconnected, and the
customer must have no more than two
Being a good credit risk.
References should be people who may
be quickly and inexpensively checked by
the utility company.
Having someone agree in writing to
pay the deposit if the customer should
fail to pay his bill. Or, if the unpaid bill is
less than the deposit, the person must
agree to pay the bill if the customer
should fail to do so.
1924 B-ball coach,
dies at age of 80
Norman Shepard, coach of the
1924 UNC national championship
basketball team, died last week in
Shepard, 80, also coached at
Davidson, Harvard, Randolph
Macon and Guilford.
He was a 1923 graduate of.
UNC. The year following his
graduation, he coached the
basketball team to 26 straight
victories. The team was named
national champion by the Helms
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Eastgate Shopping Center, Chapel Hill