Ordinance passes: Water rates climb in Highfill
Posted on Wednesday, June 25, 2008
HIGHFILL ó Water rates for Highfill water customers will increase July 1.
An ordinance revising water rates passed on its third reading at the June 17 town council meeting. The rate increase is set to take effect on July 1, which is the beginning of the water districtís 2009 fiscal year.
The town had raised water rates 55 cents per thousand gallons on Nov. 8, 2007 to offset increased costs of purchasing water from the Benton-Washington Regional Water Authority, but the town was still losing money on its system.
Even after the 55 cent increase, the town is still losing about $ 30, 000 a year on its water system, said Frank Holzkamper, manager of the townís waterworks. With a loan coming due in 2011, the system needs to be self supporting, he said.
The new rate structure raises water rates an average of 8 percent across the board, Holzkamper said. But this increase should make the water system self supporting.
ì We will be paying our own way after the increase is in place for a while and funds build up to cover expenses, î Holzkamper said.
The rate increase, which was recommended by Highfillís water board leaves minimums for both residential and commercial users unchanged ó $ 25 for residential and $ 34. 50 for commercial ó but increases rates for residential and commercial customers who use more than 1, 000 gallons per month.
For residential customers, rates would increase from $ 4. 73 per thousand to $ 6. 15 per thousand for usage between 1, 000 and 5, 000 gallons; from $ 4. 23 to $ 5. 50 per thousand for usage between 5, 000 and 10, 000 gallons; from $ 3. 23 to $ 4. 20 per thousand for usage between 10, 000 and 20, 000 gallons; and from $ 2. 48 to $ 3. 22 per thousand for all usage over 20, 000 gallons.
For commercial users, rates would increase from $ 2. 73 per thousand to $ 3. 60 per thousand for usage between 1, 000 and 10, 000 gallons; from $ 2. 48 to $ 3. 22 for usage between 10, 000 and 20, 000 gallons; and from $ 2. 23 to $ 2. 90 per thousand for all usage over 20, 000 gallons.
The new rate structure brings Highfill in line with many of the surrounding cities which also had to increase rates to keep up with costs.
Holzkamper told council members he is still awaiting word on a voluntary increase in rates for water provided to the Northwest Arkansas Regional Airport because the town is under contract with the airport until 2010 to provide water at an old rate which does not include the increase now charged to Highfill by the Benton-Washington Regional Public Water Authority.
The town is currently providing water to the airport at a loss, Holzkamper said. Bank-draft system The automated-bank-draft method of payment is in place, Holzkamper told council members, and some water customers have already begun to make use of it.
A third-party credit card payment company ó Gov-Teller ó will also soon make it possible for water customers to pay their water bills by credit card. The service is free to the town of Highfill, but those paying water bills or purchasing accident reports or records by credit card through the service will be charged a user fee of $ 4. 95 for bills between $ 1 and $ 500 ó $ 2 for police reports ó by the third-party company. Water Department budget Highfillís town council approved the water / wastewater departmentís 2009 fiscal year budget which had been recommended by the water board.
The $ 238, 833 budget includes a salary increase ó to $ 37, 500 per year ó for Holzkamper and a new threequarter-ton, 4-wheel-drive utility truck for the department.
The truck is needed, Holzkamper said, to pull a sewer maintenance machine wherever it is needed along sewer lines and to have a truck equipped with tools to service water lines and handle leaks or breaks when they occur.
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