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Sewer rates will go up 15% in 2008
Sewer utility will end 2007-8 with an operating loss of revenue
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By Andrew Kuehl
11/29/07 > KEWASKUM- Taxes are not the only thing going up for residents in the village. Starting January 1 sewer rates will increase by 15%.
The Village Board approved the second increase of sewer rates for the village in seven months earlier in November. In July of 2007 the village increased rates 10%.
After rates go up in January, a family of four, with a ¾” inch meter would pay around $128.16 per quarter. This is based on that family using 18,000 gallons of water. Currently that family pays around $111.39
Director of Public Works Jerry Gilles, explained to the trustees that the sewer is operating at a deficit and will have a projected shortfall for 2007. Village Administrator Jay Shambeau, stated in hindsight, not raising the rates in 2004 and 2005 put the village at a disadvantage. It also didn’t help that in 2007 the increase was put off until mid-year.
Chairman of the Public Works and Public Services committee Derek Peterson explained that the increase would not stop the utility from operating in the red and he painted a picture with significant increases in the future. He explained the other alternative is to leave the utility operating at a large loss and place the loss on the tax roll.
Trustee Kevin Scheunemann advocated for raising the rates as a better alternative because then the users are paying for the service and have the option of using the utility less.
However, even with the increase the village will continue to operate $200,000 in the negative at the end of 2008. The improvements at the Wastewater Treatment Facility will also add $2.7 million in debt to the utility.
Gilles stated that development in the Tax Incremental Finance District would improve the situation drastically.
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