Sewer rates unchanged

He said reduced inflation and elimination of about $291,762 of anticipated new annual debt allowed work on the first phase of improvements to continue without raising rates to cover costs.

In 2013, the council approved a series of wastewater utility rate increases that would become effective on March 1 of each year through 2022.

The scheduled increases took place for three years but the current $46.32 per month residential bill — $74.84 outside the city limits — will remain unchanged in 2016.

Revenue raised through the increases has been used to replace aging equipment at the wastewater plant and address deficiencies to ensure the city is prepared to meet future growth needs.

Anderson reported that increasing wastewater rates this year would reduce the amount of any bond issue in 2018 for the second phase of upgrades at the plant by about $350,000. An additional $175,000 per year would be available in future years to support debt payments on that bond.

However, Anderson said he was not yet certain whether the 2018 bond would be needed.

Last fall, the council stopped a planned 5 percent water rate increase due revenue for infrastructure improvements being higher than expected.

It was the first time in a decade that residents hadn’t been called on to pay more for water service.

Residents have faced a series of annual water rate increases since 2006, which followed a 12 year period — from 1994 to 2006 — with no rate hikes when officials said the city fell behind on water system improvements.

Revenue gained from the increases that were slated to continue until 2020, dependent upon an annual review, is used to cover about $23 million in expenses for major repair work.

Water customers inside the city limits currently pay $55.30 per month for use of up to 10,000 gallons. Above that amount, they pay $1.68 per 1,000 gallons.