Sewer fees have gone up, the mayor said, chiefly because of a drop in revenue when they went to metered rates three years ago.
“When the switch from non-metered rates to metered rates happened, it was incorrectly estimated. As metering took effect, the water usage in the village dropped drastically, and with it, so did revenues.
“As a direct result, sewer revenues also dropped dramatically.”
IN THE RED
Holderman said the sewer fund is now $90,000 in the red, so they had to increase rates.
“When I took office in April of last year, I was shocked to see that (deficit), and I began a in-depth look at both revenues and expenses.
“With the Board of Trustees’ help, we formulated a plan to dig out the sewer fund over the next three-year period, replenish spare parts and build a reserve fund to cover routine and unexpected breakdowns.”
The new rates have not been officially adopted, and the village will schedule a public hearing to take input and explain what happened, Holderman said.
If approved, the rates won’t take effect until June 1.
The sewer rates, billed quarterly, would be $59.25 for the first 9,000 gallons of usage inside the village and $99.25 outside the village. For every 1,000 gallons after the 9,000, the rates are $4.25 inside the village and $8.25 outside.
“This is an increase of $17.25 per quarter,” Holderman said. “We will be working hard to keep costs down.”
He said they would try to remove $10 of the increase as soon as possible.
Water fees are going up only slightly, 25 cents more per quarter, the mayor said.
“The water fund was in better shape as far as the expenses were concerned. We were able to keep expenses down to remain solvent in the fund. Now we are planning some upgrades and replacement of aging equipment, so we need a slight increase.”