Mohawk Valley Water Authority proposing 2 percent hike
Story Created:
Jan 20, 2012 at 7:21 PM EDT
Story Updated:
Jan 20, 2012 at 7:33 PM EDT
MOHAWK VALLEY, N.Y. (WKTV) - The Mohawk Valley Water Authority is proposing a 2 percent hike in water rates that will take effect April 1, if approved. The rate increase would bring about a $9 annual increase to the average household's bill.
"The main factors are - we'll be doing some construction projects, coming up as part of our capital improvement program. We anticipate borrowing later this year, which is going to result in debt payments that will kick into the next budget year of about $372,000," says Mohawk Valley Water Authority Executive Director Patrick Becher.
This cost, coupled with a $138,000 increase in the price of chemicals to treat water, as well as a continued decline in overall water usage, is also giving them added expenses.
"It's hard for people to understand that, as use goes down, we have to raise the price," says Becher. "Unfortunately, even when the use goes down, we don't really see any significant reduction in our operating expenses."
Becher explains it will also be the first year the Water Authority will have to completely fund a new Granular Activated Carbon filtration system, costing roughly one million dollars a year. Last year that was paid for by a cash reserve.
"We're a nonprofit organization. It's a community-owned system and so, the only thing that's available when that happens is to scale back the service and stop fixing it...or share those costs as equally as we can among the communities," says Becher.
The Water Authority will be conducting a public hearing on the proposed 2% increase Monday, January 23 at 5 p.m. in the Common Council Chambers of Utica City Hall, where residents are welcome to come to learn more about the increase of give their opinions before its approved.
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