CITY BUDGET TO AKS FOR FEE INCREASES IN WATER, SEWER RATES

Cape Girardeau wants to raise sewer, water, golf and various other parks and recreation fees as part of the proposed $55 million budget for fiscal 1996.

The new fiscal year begins July 1.

The monthly sewer charges would be raised 5 percent, and golf fees and various parks and recreation classes and programs by 5 to 8 percent, beginning July 1. Water charges would climb by 3 percent, effective Jan. 1.

Water, sewer, trash and golf course operations are enterprise funds, designed to pay for themselves with user charges.

All but the golf course generally have been self-supporting, city officials said.

Even with proposed fee hikes, the city expects to subsidize the half-million-dollar golf course operation by about $45,000 in fiscal 1996. Fees and concession revenue at the Cape Girardeau Municipal Golf Course are projected at nearly $460,000 for fiscal 1996, up from an estimated $383,000 this year.

Budget figures don't take into account a possible sales tax to fund road projects. Voters may be asked to approve such a tax later this year.

Finance Director John Richbourg said the average, monthly residential sewer bill would increase by 54 cents to $11.38. The average commercial customer would see his or her monthly bill climb from $42.50 to $44.62.

The average, residential water bill would increase 43 cents to $14.87 a month. The average residential customer uses about 5,000 gallons of water a month. The average commercial customer's bill would increase from $60.95 to $62.78, based on usage of 29,000 gallons a month.

Sewer charges are based on water usage during the period from January through March.

Assistant City Manager and Public Works Director Doug Leslie said the sewer and water enterprise funds are designed to pay for annual operations.

"They don't build any substantial reserves even for emergency purposes," Leslie said.

The proposed 3 percent increase in water rates will fund increased operational costs and expenses associated with extending water lines to new development.

The sewer fee hike is largely to pay for increased costs associated with the treatment of sludge, Leslie said.

The city plans to spend just over 50 percent of its total budget or $27.7 million in the coming fiscal year on capital improvements, with nearly $17 million of that in the form of sewer and water projects, Richbourg said.

Public Works operations and capital projects within that category are projected at nearly $28 million. Over half of that is budgeted for capital improvements. Regular Public Works operations are budgeted at only a couple thousand dollars above the current year's level, Leslie said.

"I think it is a real positive thing that we are spending that much on major projects in the city, including the sewer separation project," he said.

Both the park and golf boards have recommended fee increases.

Parks and Recreation Director Dan Muser said the proposed fee hikes would be the first in three years.

"Everything is relegated to break even, if we can."

The fee hikes for various recreation programs are intended to cover the cost of an instructor, materials and supplies. It is proposed, for example, that the cost of lifeguard training be increased from $30 to $32 for Cape Girardeau residents.

Arena Building rental charges would be raised. Civic groups would pay $275 instead of the current $250. The fee charged commercial users would go from $500 to $550.

A number of golf course fees would be hiked. Greens fees would go from $7 to $7.50 for weekday play, and from $9 to $9.50 on weekends.

Motor-cart rental would go from $9 to $9.50 for nine holes of golf, and from $15 to $16 for 18 holes.

The pull-cart rental charge would increase 25 cents to $1.75.

Rental of golf clubs would increase from $3 to $3.50 for 18 holes.

The annual pass fees would increase $20 to $295. A family pass would cost $410, a $25 increase.

"Our fees are very, very low. They are not even competitive when you come down to it," Muser said.

"This is just a way for us to kind of get over the hill on it so we will have revenue to continue making improvements," he said.