Fee Increases Proposed for Sludge Pumping, Wastewater Systems & S.Tongass WaterBy MARY KAUFFMANMay 17, 2014
Monday, Public Works' staff will be requesting a 7.8% increase to the recurring fees billed to properties on the public wastewater systems, and a $5.00 quarterly increase to residential properties in the Borough on the sludge pumping program -- a service performed by the Ketchikan Gateway Borough. The South Tongass Service Area directed staff to pursue a 10.5% increase to fees collected from properties connected to the Borough-operated Mountain Point Water System. Ordinance 1721, if approved, would reflect the across-the-board increase in these fees. Costs to residential properties will increase from $38.00 to $42.00 per month. The increased fees in proposed Ordinance 1720, if adopted, will generate $50,840 from current customers in Borough Sludge Pumping Program and the Borough Operated Wastewater Collection Systems . If not adopted, the wastewater enterprise fund will operate at a 7.5% deficit according to information submitted by Ed Schofield, Public Works. Proposed Ordinance 1720, if approved, will increase the monthly charge for residences connected to the Borough-operated Mountain Point and Forest Park Wastewater Systems from $40.00 to $43.00, and increase the quarterly sludge program fee from $45.00 to $50.00. The quarterly sludge program fee covers the cost of pumping residential septic treatment tanks every three years. Prior to the Ketchikan Borough taking over pumping services, a locally owned business provided pumping services at 1/3 the cost. The Ketchikan Borough now has non-areawide powers in place to administer on-site wastewater treatment systems, ocean outfalls, and the public sewer systems present at Forest Park and Mountain Point. The resolutions adopting the residential wastewater fees for both the public sewer collection and treatment and sludge pumping were last adjusted in 2004, and the commercial rates were last adjusted in 2009. According to the information provided to the Assembly for consideration on Monday, Schofield of Public Works said the rate increase is needed because operations, labor, material, permits and contractual service costs have all increased over the years. If Ordinance 1720 is approved, the wastewater enterprise fund is anticipated to generate an additional $50,840 from current customers. Without this adjustment, the fund will operate at a 7.5% deficit. The Ketchikan Borough Code fees and charges for fire and water service in the South Tongass Service Area are set by a combination of fees for service and service area mill levies. The proposed fee adjustment proposed by Ordinance 1720 is solely based upon the fee for service component of the service area's budget. According to information provided to the Assembly for their consideration Monday by Public Works, the code has been amended over the years but the simple fact is that residential rates have not been increased since adopted in 2004, and the commercial rates have not been increased since 2005. Those ordinances followed shortly after the creation of the South Tongass Service Area. Proposed Ordinance 1720 is intended to address a shortfall in funds: without the 10.5% increase, the water fund will continue to operate at a deficit, reducing the available funding to accommodate emergencies or plan for future capital projects according to Public Works. This ordinance , if adopted, is anticipated to add approximately $24,162 in revenues. If not adopted, the South Tongass Water Utility will continue to operate at a deficit of approximately 9%. Ordinance 1720 Authorizing a Fee Increase for Recurring Charges for the Borough Sludge Pumping Program and the Borough Operated Wastewater Collection Systems On the Web:
|
|||
