Drumheller’s Town Council is considering a raise in its monthly water and sewer rate charges for the new year.
Council passed first reading of Utility Rate Bylaw 10.14, which would see water rates from the town increase by five per cent and sewer rates increase by two per cent.
For a typical residential house using 15 cubic metres of water per month, under the current rate of $1.4710 and a base rate of $11.55, the homeowner’s water bill would be about $33.63 per month.
The 2014 wastewater rate is $1.9430. With a base rate of $12.08, the 2014 fee is about $35.40, for a total utility bill of about $69 for the month.
With the proposed increase for 15 cubic metres of water at $1.5446 and a base rate of $12.13, the homeowner’s water would cost $35.30.
The proposed wastewater rate of 1.9819 and new base rate of $12.32 makes a new wastewater bill $36.10, and the total utility bill about $71. “It’s five per cent, but you’ve got to understand, too, we’re looking toward a completely self-funded utility,” said Mayor Terry Yemen, explaining that a portion of the five per cent increase will be moved into the Town’s water reserve fund, which currently sits at about $1.5 million.
Yemen said the Town is able to keep the wastewater/sewer rates to two per cent because the town has a healthy wastewater reserve fund.
“When you’re dealing with freshwater, and something was to go amok, a million-and-a-half dollars really doesn’t take you anywhere. And the provincial government has been less than helpful in their funding in the past, so I think it’s very prudent that we do this.”
Yemen said the province’s elimination of funding and grants for municipal water projects means the Town must be smart in saving up the funds in anticipation of its future needs. “We’re kind of out there on our own, and this is a necessary evil.”
Council has scheduled a special meeting December 22 in Council Chambers for second and third reading of the Utility Bylaw to raise rates.
