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Water Rates
How much you pay for water depends on two factors: where you live and how much you use.
Years ago the City borrowed money to upgrade our water treatment system. Those loans resulted in a two-tiered rate structure. Some residents outside the city limits receive city water and pay a higher rate than in-city residents. New water hook-ups outside the city also cost more than new hook-ups inside the city.
Our water system qualifies as an "enterprise" account, meaning that the city must charge for the cost of providing water and maintaining the system. Water fees must not only pay for the existing plant operation, but build a fund to pay for future equipment repair and replacement.
In 2002 the City Engineer studied water rates and determined that rates had not been raised in eleven years. The cost of maintaining the water system was becoming greater than revenues from water customers. Therefore, the City Council implemented two changes in water rates:
- The base rates were raised to a level that covered costs.
- Each year water rates will be adjusted according the the Consumer Price Index for inflation.
Small annual adjustments in water rates will ensure that the water fund can maintain this critical city service into the future.