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Consultant: South Beloit sewer utility needs roughly 45% revenue increase to cover repairs and lift‑station work
Summary
At the June 16 South Beloit City Council meeting, Fairgram consultant Caroline Quism presented a sewer financial study showing the sewer utility’s current revenue shortfall and outlining options that would require phased rate increases to pay for failing lift stations and other capital work.
Caroline Quism of consulting firm Fairgram told the South Beloit City Council on June 16 that the city’s sewer utility is operating below a fiscally sustainable revenue level and will need a substantial revenue increase and capital investment to address failing lift stations and other deferred maintenance.
Quism said the system brought in about $2.8 million in the most recent year but that a commonly used fiscal benchmark shows the utility should be near $4.0 million to meet operating costs, depreciation and debt service. “You need to increase your revenue by about 45%,” Quism told council members as she described scenarios that phase increases over five years to reduce immediate shock to customers.
Why it matters: council members and staff said the most urgent capital item is a failing lift station and associated force main that could require temporary trucking, emergency work and costly penalties if…
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