Rogers approves water rate increase

ROGERS -- The City Council approved a water rate increase to start in July during its meeting Tuesday.

Residents will see a 0.95-cent increase for up to 1,500 gallons of water. The $5.94 rate will increase to $6.89. A 0.45-cent increase for use of between 1,500 and 98,500 gallons also will be implemented. The rate of $2.54 for that amount will increase to $2.99.

At A Glance

Rogers customers who use about 4,500 gallons of water will see their bill increase from $13.56 to $15.86. Customers who use about 5,600 gallons will see an increase from $16.35 to $19.14.

Single family households typically use about 4,500-5,600 gallons of water on each bill, officials said. Customers will see the increase on August bills.

Betsy Reithemeyer, council member, voted yes for the increase but noted she felt the increase was substantial. She asked water officials what the percentage increase was during a committee meeting before the council meeting.

Earl Rausch, water superintendent, said it would be about a 17 percent increase to residential users.

Residential users are the base of the water providers customers, Reithemeyer said.

The rate increase follows Beaver Water District announcing increases to its cost of wholesale water purchases. Rogers water utilities will see an increase of 0.03 cents per 1,000 gallons. The district also plans to increase to 0.12 cents per 1,000 gallons overall in the next five years.

Beaver Water District has increased from $1.20 to $1.26 since Rogers Water Utilities had its last rate increase in 2009, Joyce Johnson, Rogers Water Utilities controller, said. The district's past and future hikes are about a 15 percent increase total.

Rogers water officials also have said projected operating deficit require more money.

The water provider previously expected a $132,000 deficit for the fiscal 2015, Johnson, said. New projections show the deficit closer to $240,000, she said.

Johnson previously said the weather is a major factor in the water department's budget. She said wet springs, such as this year, cause customers to use less water.

Rogers Water Utilities also has projected a $500,000 operating deficit for fiscal 2016, Johnson said. The water rate increase could create $1.3 million and cover the deficit, Johnson said.

"This puts us about $500,000 in the black instead of $500,000 in the red," Rausch said.

Rausch said the rate increase still won't cover everything the water provider needs. There are $3.9 million in capital projects budgeted for the fiscal 2016, he said. This includes line extensions, meter replacements along with updating trucks and computers, he said.

The water provider had 27,000 customers in 2009, Rausch said. It now has 30,000. Staff reductions started in 2008. The department has 60 water and sewer employees. It had about 70 in 2007.

NW News on 06/10/2015

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