The Plymouth City Council members held two public hearings Monday night on increases in the water and sewer rates.
Tyler Coffel from Baker Tilly explained that the sewer rates were increased last in 2017. He said the need for the increase is because the operating revenues are lower than expected, and Capital Improvement budgets have increased.
“The CCTV Unit project, the Gibson Street project and the phosphorous removal project are all large capital needs of the utility that have come up over the last three years,” said Coffel.
The first sewer rate increase for the average bill of 4,000 gallons would take effect September 1 of this year for the first phase with the second phase effective September 1, 2023. The first phase would result in a $1.50 increase from the current rate which would raise the sewer rate to $30.33 and another $1.50 increase next year which would bring it up to $31.83.
Coffel said the last time the rates increased for water was in 2017. He said the operating revenues and disbursements are meeting expectations, but Capital Improvements are driving the increases.
Coffel continued, “There are some larger projects in here including water tower painting and the East Jefferson Street primary feeder project, and then also the inflation of the current market as we all know.”
There will be three phases of increases in 2022, 2023 and 2024. By the end of the phase increases in 2024, the water rate will increase $3.00 a month.
There were no other public comments during the public hearings.
During the discussion on the approval of the second and third readings of the ordinances that authorize the rate increases, Councilman Jeff Houin commented that nobody wants to raise rates.
“Even after this increase we’re going to have some of the lowest water and sewage rates of any comparable city,” stated Houin. “I think it’s a testament to the good management by the city and the department over the years and as uncomfortable as it is I think this is a necessary action to take.”
The council unanimously approved the second and third readings of the water and sewer rate increase ordinances.