Utility rates are going up in the City of Newton to keep up with the rising cost of upkeep of the water and sewer systems.
Beginning with the April, the water and sewer rates will be increasing $1.45 apiece to bring both minimum rates to $15. That represents an increase of 10.7 percent on each service.
The increase will bring the minimum utility bill to $61.30 monthly, which will bring in an additional $57,420 each 12-month period.
Alderman Bob Bridges said the utility increases were needed to help offset the cost increases. And he said it is something that the city needs to continue doing to help it deal with inflation of costs and to help the city qualify for additional grants and low-interest loans to improve the city’s water and sewers.
“(Mississippi Development Authority) looks at our water rates when they award grants and loans for projects,” Bridges said. “They recommend us increasing our water rates by 0.8 percent each year to keep up with the cost of living increases. If we did this every year, we wouldn’t have to pass such large increases like this every few years.”
Public Works Director Gary Turner said the increases would also help them keep up with rising costs. He said after several months, he was able to order and receive additional fluoride to put into the city’s drinking water.
“It used to cost me a $1.35 per pound for a ton of fluoride, but it went up to $2 per pound,” Turner said. “So there’s that increase in cost.”
City Attorney Brian Mayo said, however, the city could not automatically increase rates every year. Each year’s rate increase would have to be brought up each year.
The other rates on the monthly bills did not increase, which include $16.75 for garbage service, $2.50 for water capital improvement projects, $4 sewer capital improvement projects and $8.05 to pay for debt service on street paving.
The city is also considering passing on an 80-cent increase on garbage rates after WastePro announced it would be increasing rates for garbage service by that amount. However, the city officials did not feel like could increase rates on garbage until they can work out issues with garbage pickup.
Currently, the city is having issues with WastePro not honoring their contract to pick up three additional items in addition to the contents of their own garbage cans. The city will continue to eat that cost until their issues can be resolved.
