The Jackson Board of Aldermen were recommended Monday night to consider potential sewage rate increases over the next 10 years in order to fund the city’s sewer system.
A report conducted by Horner & Shifrin Inc. of St. Louis recommends a “phased-funding option using SRF funding,” which includes a 7% rate increase in years the city would be closing on a new state revolving fund (SRF) loan. This would increase monthly rates for a 5,000-gallon per month user to $32.37 in 2021, $35.60 in 2024 and $39.25 in 2027, according to the report. Currently, 5,000-gallon per month users pay a monthly rate of $30.25.
Despite these recommendations, Mayor Dwain Hahs seemed apprehensive about a potential rate increase, especially before 2023.
“We’re effectively done with our 2021 budget, so this won’t happen in 2021,” Hahs said. “2022 is our last water increase of 7%, and we certainly wouldn’t want to put 7% on top of 7%. So I would think we’re out until 2022 or 2023 before we could start funding this without doubling up on an increase, water on top of sewage.”
Ed Sewing, senior project manager with Horner & Shifrin, said the Missouri Department of Natural Resources requires updates of facility plans.
“Generally, DNR requires updates of facility plans, usually about every 20 years, if the wastewater treatment plant has less than 15% of its remaining capacity available or if there’s any issues with the collection system or any other problems,” Sewing said. “In this case, the City of Jackson kind of checks all of those boxes.”
Hahs asked Sewing to research how the rates in Jackson would compare with other cities in Missouri of the same size before the next update.
The new report was commissioned by the City of Jackson to update the 2018 rate study and recommend a new rate structure to ensure successful operation and maintenance of the city’s wastewater treatment system.
Other study session items discussed by the aldermen Monday night included:
Earlier on Monday evening, during the board’s business meeting, the aldermen:
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