HU raising sewer, electric rates

By Staff
Clif Knight, Hartselle Enquirer
Hartselle residents will have to dig deeper in their pockets to pay for sewer and electric services beginning April 1.
The basic sewer rate will increase from $11.25 to $12.71 per customer per month and the volumetric rate will increase from $3.58 to $4.55 per 1,000 gallons per month. The amount of the increase for a sewer customer who uses 5,000 gallons of water per month will be $6.31 or an increase of 22 percent.
Electric rates will be increased 1.5 percent as a result of TVA’s fuel cost adjustment rate plan implemented July 1, 2006. There was no increase passed on at the end of the first quarter (Sept. 30) and a .01 percent increase at the end of the second quarter (Dec. 31) was absorbed by HU.
Both rate increases were recommended by the HU staff and approved by the board at its Feb. 5 meeting.
The recommendation for a sewer rate adjustment came from a rate study conducted by CDG Engineering in 2006.
Vest said revenues generated by the basic sewer rate are used for operations and maintenance, long-term debt and capital improvements. Revenues from the volumetric side are used to fund operations and maintenance and capital improvements.
The department’s long-term debt is the result of borrowing $4 million from the state’s Sewer Revolving Fund in 2002 and 2004 to meet a 45 percent federal match requirement on grant funds used to rehabilitate the existing sewer collector system. HU is now seeking 55/45 federal funds to finance the first of three phases of a $10 million wastewater treatment plant upgrade.
The electric rate adjustment will add $1.09 per month to the utility bill of the average Hartselle electric customer.
should even themselves out.”