Water rate increase approved
|
Rates have been increased twice in the past three years, but officials said before any new rates are implemented, the proposal will have to pass by ordinance in a vote of the full Board of Mayor and Aldermen first.
Officials said the newest proposal for a rate increase will yield about $300,000 in revenue they said will be used to fund an approximate $4.2 million loan for three water department improvements. Among those projects are a new water tank, refurbishing the old downtown tank and a lime stabilization plant.
“This is going to do what we need it to do as far as refinishing the downtown tank, building the tank on Highway 127 and building our lime stabilization plant,” Water and Sewer Committee Chairman Jimmy Bonner said of the proposed rates Monday.
According to Water and Wastewater Director Carl Davis, the new water tank is needed to improve storage capacity and volume and increase water pressure. The downtown tank, officials said, is in need of repair, while officials have had a lime stabilization plant on the radar for years.
The lime stabilization plant, sometimes called a sludge press, is designed to recycle human waste and create a plant-friendly fertilizer using lime, Davis said.
Officials have also said the practice of “land spreading” waste on area fields at farmers’ discretion, and according to the weather, may fall out of favor with the Environmental Protection Agency in the future and is another reason the sludge press is necessary.
The proposed rate takes some of the steps out of the current rate structure but adds billing surcharges for water and sewer services.
In short, those considered as inside city limits residential, industrial and commercial customers will pay a $4 surcharge no matter how much water is used. The surcharge is more if considered an outside water or sewer customer.
Officials debated a general comparison of the proposed and old rate structures Monday, but had more specific figures as provided by city engineer, Jimmy Hailey, on Tuesday.
The proposed water rate breakdown for water use as provided to the city by Hailey is as follows:
• Inside [city limits] residential customers will pay the $2 water surcharge plus $3.25 per 1,000 gallons;
• Outside residential customers will pay a $2.70 water surcharge and $3.90 per 1,000 gallons;
• Inside industrial and commercial users will pay the $2 water surcharge plus $3.55 per 1,000 gallons from 0 to 50,000 gallons and $2.73 per 1,000 gallons for more than 50,000 gallons; and
• Outside industrial and commercial users will pay the $2.70 water surcharge plus $4.25 per 1,000 gallons from 0 to 50,000 gallons and $3.28 per 1,000 gallons for more than 50,000 gallons.
Sewer rates include the $2 inside residential, industrial and commercial surcharge and a $3.30 outside residential, industrial and commercial surcharge.
The proposed sewer rates are as follows:
• Inside residential customers will pay the $2 sewer surcharge plus $3.50 per 1,000 gallons;
• Outside residential customers will pay the $3.30 sewer surcharge and $4.66 per 1,000 gallons;
• Inside industrial and commercial users will pay the $2 sewer surcharge plus $3.84 per 1,000 gallons from 0 to 50,000 gallons and $2.96 per 1,000 gallons for more than 50,000 gallons; and
• Outside industrial and commercial users will pay the $3.30 sewer surcharge plus $5.11 per 1,000 gallons from 0 to 50,000 gallons and $3.94 per 1,000 gallons for more than 50,000 gallons.
Officials also noted industrial use of water is down. Davis said from 2000 to 2001, industrial use has decreased 70 percent due to the plant closures of high water users Aquatech and Dezurik.
“And this year alone, comparing 2002 to 2001, it’s dropped about 20 percent,” Davis added.