Rate increase eyed

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September 9, 2009

Hanceville Water and Sewer board member says rates would remain below average

By Patrick McCreless The Cullman Times Wed Sep 09, 2009, 09:50 PM CDT

HANCEVILLE — Hanceville residents may soon see rate increases on their water and sewer bills.

During the Hanceville Water and Sewer Board meeting Tuesday, board member Charles Wilson said a resolution that allowed for automatic 5 percent increases on rates over the last few years would expire on Oct. 1. Wilson said the old resolution needs to be reinstated or a new one created to help the board pay off various bills.

“We need to think ahead,” Wilson said. “We don’t need to wait until the bills are on us.”

The board tabled a decision on a rate increase until their next meeting, since they have not yet received a forensic audit on the water department, which was ordered earlier this year.

“A rate increase is something we need to consider ... but we need to finish up the audit,” said board member Johnny Whitaker.

The water board currently owes thousands on a bond for the city’s well and may soon owe $100,000 in matching funds for a $400,000 sewer line improvement state grant, if it is approved later this year.

Wilson said another 5 percent increase on water and sewage would add about $6,000 to the city water department’s monthly revenue, if current water sales stayed at the same rate.

The increase would mean an extra $1.35 on an average residential water and sewer bill.

To Wilson and other board members, the rate increase would be more than fair.

“Our water rates are still below average and our sewer rates are well below the average,” Wilson said when comparing Hanceville’s rates to those of other municipalities.

Also during the meeting, a representative for ClearWater Solutions, which manages the Hanceville Wastewater Treatment Plant, stated the facility was compliant with all state regulations for the month of August. The favorable report marks the first time the plant has been compliant this year.

The Alabama Department of Environmental Management (ADEM) has cited the plants several times over the last few years for unpermitted discharges into Mudd Creek.

‰ Patrick McCreless can be reached by e-mail at patrickm@cullmantimes.com or by telephone at 734-2131 ext. 270.

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Rate increase eyed

Hanceville Water and Sewer board member says rates would remain below average

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