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8.26.08

Water and sewer rates to rise
By Deena Winter, Lincoln Journal Star

Water and sewer rates will both go up 3 percent, starting in February.

Public works officials had proposed 4 percent increases, but the Lincoln City Council knocked off 1 percent Monday night.

The average residential water bill is $26.61 and the average sewer bill is $20.87

 
Public Works Director Greg MacLean said the hikes are needed to deal with increasing costs for power, fuel, treatment chemicals and to provide infrastructure in the city’s growth area. His department has become more efficient, he said, by reorganizing after retirements.

Public Works business manager Margaret Remmenga said Lincoln’s rates still are lower than most communities, according to annual industry surveys.

Both departments also plan to issue revenue bonds to help fund capital projects, Remmenga said.

“We try to maximize the bond issues and minimize user fee increases so future ratepayers are helping pay for infrastructure cost,” said Remmenga, one of many longtime city employees retiring this year.

Mike Eckert, representing developers John and Tom Schleich, said although as landlords, they’ll bear the brunt of increased water and sewer rates, they understand the fee increases will fund needed capital projects.

The home builders association came out in support of the rate increases, which help pay for infrastructure to new areas.

Citizen Russell Miller opposed the increase, saying it continues a “long pattern of rate increases in the name of growth” and will only benefit developers. He said if city leaders refuse to increase property taxes to pay for badly needed city services, they shouldn’t increase water and sewer rates either.

“My budget doesn’t particularly care whether it goes to property taxes or it goes to water and sewer (bills),” he said. “It’s still money out of my pocket.”

Councilman Jon Camp said these are user fees that can be directly targeted to the person using the service.

Water rates have increased 35 percent since 2002 and sewer rates have gone up 40 percent since 2003, according to figures provided by the city.

The city had double-digit water rate increases from 1985 to 1988 to build facilities such as the Ashland water treatment plant but had no increases from 1991 through 2001.

Council members Jonathan Cook, Doug Emery and Dan Marvin voted against the rate increases, saying it was only fair given the council’s freeze on impact fees this year, the fees help offset the city’s cost of new development.

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