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By Lynda Jensen
Editor
DASSEL, MN – Utility rates are likely to go up as the result of a rate study done recently by the city; which will be presented in its entirety at a work session 6 p.m. Tuesday, Nov. 10.
The work session will also address other subjects, but the rate study will be reviewed in a complete format at that time.
Engineer Chuck DeWolf is expected to be in attendance at the meeting as well.
An overview of the rate study was made available at the regular council meeting last Monday (see below), which showed fewer gallons of water being used in 2008 than 2007 (from 40 million gallons used to 36 million gallons). It also shows 2 million gallons less of sewer being processed than in 2007.
Administrator Myles McGrath attributed this to conservation and residents using water-wise appliances.
However, this usage must be spread over the same 630 connections in the city. “You do the math,” he said.
A summary of the rate study is as follows:
Water rate information
The 2008 water usage (based on billed amounts) is 36,000,000 gallons. This amount is approximately 3 million gallons less than 2007. The total number of connections is 630.
Existing water rates: base fee: $5.25 per month and a usage fee: $6 per 1,000 gallons. The projected revenue based on current rates is $255,690.
The 2009 budgeted expenditures are: operation and maintenance: $177,290 and debt service: $200,700,00. This makes a total of $377,990.
Sewer rate information
The 2008 sewer usage (based on billed amounts) is 32,000,000 gallons. This amount 15 is approximately 2 million gallons less than 2007. The total number of connections is 630.
Existing sewer rates: base fee: $18 per month (includes 1st 1,000 gallons) and usage fee: $4.75 per 1,000 gallons. The projected revenue based on current rates is $252,170.
The 2009 budgeted expenditures is as follows: operation and maintenance: $209,380, plus debt service: $97,800 for a total of $307,180.
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