Mayor explains proposed rates

 

April 26, 2018



There is quite a bit of misinformation floating around about the need to increase the water and sewer rates in the City of Thompson Falls. The reasons for the rate increases are very straight forward. For both water and sewer: 1. Increases in the maintenance and operation costs. 2. There has been a finding on our audit report that is due to not charging enough to service our current debt. 3. To start a Capital Improvements Fund. This can be used as match money for grants, grant applications and repairs. This will reduce our need to borrow money in the future. 4. To pay for applications for grant funding for upcoming current projects.

For the sewer, we were turned down by the state for a loan to fix a section of main downtown that is close to failure. For the water, debt service for a new water project; 4th and Clay continuation from last year. That needs to be done so that engineering plans can still be used and not have to be done again and there have been leaks in this section. The City is losing 40% of its water to leaks, and the main is 70 years old.

The increase in water for residential will be: Base rate $1.15 per month; from $38.85 to $40.00. There will be no water with the base rate. You will be charged $1.50 per 1000 gal. used. The maximum increase will be $13.50 if you use 8000 gal. or more. Using myself as an example, I pay on average $38.85, I use 2300 gal. With new rates, I will pay $40.00 base and $3.45 for water usage for a total of $43.45 an increase of $4.60 per month.

For residential sewer: The base rate is increased $2.00; from $38.00 to $40.00. There will be no sewer with the base rate. You will be charged $4.10 per 1000 gal. used. The maximum increase will be if you use 4000 gal. or more. The maximum cost increase would be $18.40 per month. Using 2000 gal. sewage per month as an example, cost would be $38.00 now, with increase it would be $40.00 base with $8.20 usage for a total $48.20 an increase of $10.20 per month. I hope this clears up the misinformation. If you have any questions please contact City Hall (827-3557) and set up a time to talk to me, Mark Sheets, Mayor. There is a public hearing on the proposed increases Monday, May 5, 2018 at 7pm in City Hall.

Mark Sheets, Mayor of Thompson Falls

 

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