On May 2, the Bartlesville City Council voted unanimously to authorize City staff to prepare required documents relating to the implementation of proposed fees and rate increases necessary to fund the City’s water and waste-water systems.
If ultimately approved by the council next month, the rate increases would take effect on July 1, at the beginning of the 2016-2017 Fiscal Year, but would be staggered over a five year period. The council has also been asked to support dedicated capital fees for both water and waste-water to cover “pay as you go” capital costs, as well as a septic surcharge adjustment for out of town septic haulers.
Inclining rate scale proposed
Under the proposal, the City of Bartlesville would move from its current “declining rate scale” water billing system, under which water customers pay less for higher water use, to an “inclining rate scale,” under which customers would pay more for water used in excess of the first tier — a proposed 10,000 gallons per month.
Under the proposed system, households using less than 2,000 gallons of water would not pay a per gallon charge, 2,000 to 10,000 gallons per day would pay $3.45 per thousand gallons, while those using 10,000 to 25,000 gallons would pay $3.80 per thousand gallons. Further tiered increases occur at 25,000 gallons and 50,000 gallons. Industrial and large commercial accounts would be billed a flat fee of $3.45 per thousand gallons.
While the inclining scale is designed to encourage water conservation by assessing a higher fee for households that use more water than average, City officials say flat rates for businesses are necessary to encourage development.
“The last thing we want to do is discourage development,” said Administrative Director/Chief Financial Officer Mike Bailey. “The water used by industrial and large commercial accounts is not an amount that can be easily reduced, as it’s often used as part of their process. So it’s important that these types of businesses are not subject to the including scale.”
Bailey said the new system would only minimally impact most residential customers, with the average household using only about 6,000 gallons of water per day.
“That is the average household use over the course of a year, and takes into account higher usage during the summer months,” he said.
If adopted by the council as presented, the average household would see an increase of about $6.91 per month the first year, $3.94 the second year, $4.15 the third year, $4.40 the fourth year and $4.64 the fifth year for water and waste-water combined. Households with consumption exceeding the average would pay slightly more, as would properties with larger meters.
Time to act is now
The City’s water rates were last increased in 2006, while waste-water rates were last increased two years ago. Costs associated with both systems have continues to rise, however, and long-term strategies for securing water supply and the infrastructure required to treat and distribute it have continued to increase as well. The City of Bartlesville provides water for nine wholesale water customers, which includes several municipalities and rural water districts in Washington County, as well as some Osage County rural water providers.
To continue to meet the area’s future needs, action will be required soon. And a planning process to implement those changes must be enacted now, said Water Utilities Director Terry Lauritsen.
“We really can’t wait any longer to address our water needs, both in the short and long term,” Lauritsen said. “This is not only true for Bartlesville but water providers everywhere. The growing demand — coupled with years of drought and conditions that have diminished the reliability of our current water sources — have necessitated the need for us to make decisions now and begin planning for and funding long-range options.”
The two most viable options, which would be partially funded with the proposed Water and Capital Investment fees, are pursuing water (with the necessary infrastructure) from Copan Lake, and the possible implementation of an effluent — or water recycling — system.
On the waste-water end, the implementation of a Waste-water Capital Fee would help fund the construction or expansion of the waste-water treatment plant, which will be required soon to increase the City’s treatment capacity as well as to meet state and federal standards, Lauritsen said.
The proposed capital fees for water and waste-water total $1.04 per thousand gallon increase.
Meeting set for June 6
The City Council is expected to take final action on the recommendations during a meeting scheduled for June 6 at City Hall, 401 S. Johnstone Ave. The meeting will begin at 7 p.m. and is open to anyone wishing to attend.