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NewsJune 19, 1992

A typical Cape Girardeau property owner will pay an additional $50.55 in property taxes and city utility charges under new fees adopted this week as part of the fiscal year 1992 city budget. The new fiscal year begins July 1. In the subsequent 12 months, the typical household with property valued at $70,000 and which uses an average of 700 cubic feet of water per month will pay a total of $786.80 in property tax and sewer and solid-waste fees...

A typical Cape Girardeau property owner will pay an additional $50.55 in property taxes and city utility charges under new fees adopted this week as part of the fiscal year 1992 city budget.

The new fiscal year begins July 1. In the subsequent 12 months, the typical household with property valued at $70,000 and which uses an average of 700 cubic feet of water per month will pay a total of $786.80 in property tax and sewer and solid-waste fees.

That's a 7 percent increase over last year's figure of $736.25. Since 1986, the charge has increased 34 percent, from $586.66.

The fee hikes, and particularly a $1.64-per-month trash-fee increase, have provoked criticism from residents. Despite citizen contention at the past two city council meetings, a split council Monday gave final approval to the fee hikes as part of the new budget.

An analysis of the fees over the past six years showed the most dramatic increase has come in the area of trash fees. Prior to 1986, the city didn't charge for residential trash service.

In 1986 the city adopted a monthly trash fee of $4.85, or $58.20 per year. With the latest hike, trash fees now are $126.48 a 117 percent increase.

The new trash fee is up 18 percent over the $106.80 charged the past three years.

Average annual sewer fees have increase about 80 percent, from $68.28 in 1986 to $123 in the new budget. The fee jumped 28 percent this year, from $96.12 a rate that hadn't changed in two years.

The most stable household charge has been in the property tax levy, which is set according to the city's assessed property valuation.

Since 1986, property taxes have increased 17 percent from $460.18 to $537.32 for someone with a $70,000 home. The new budget includes a 3-cent increase in the tax, but by law can only be levied if assessed valuation doesn't decline.

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Last year's tax rate was $4.01 per $100 of assessed valuation. The tax included $2.85 for schools, 44 cents for general city, 26 cents for county road and bridge, 14 cents for city library, and 32 cents for other categories.

The owner of a house with a market value of $70,000 would pay on an assessed valuation of $13,300 (19 percent of the value as established by law), and last year would have paid $533.33.

If the 3-cent rate hike is approved, the tax would increase to $537.32. Typically, his sewer service charge will be $123 based on the new rate of $3.46 per month and 97 cents per hundred cubic feet of water use.

Combined with the property owner's trash bill, the total charges will be $786.80. This year property owners also will have to pay a city water bill that, typically, will total about $167 per year.

The city this year purchased the water system from Union Electric Co. Previous water rates charged by Union Electric were unavailable for a six-year comparison.

City officials have said the fee increases are needed this year to offset deficits in the sewer and solid-waste funds.

They've said the trash fee hike is necessary in large part because of new regulations set out in the solid-waste law known as Senate Bill 530. The law created the need for recycling programs and yard waste separation and composting.

Other factors affecting solid-waste costs include increased landfill disposal charges and a new state surcharge of $35,000 a year to the city.

The rate increases weren't approved without a fight. Mayor Gene Rhodes and Councilmen Doug Richards and Melvin Gateley pushed to delay the trash-fee hike until after a citizens' task force could study the issue further and try to come up with alternative ways to offset the deficit.

The remaining four council members contended that tabling the issue would only delay the inevitable and force the city to raise fees even more in the future.

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