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Dunedin commission approves first reading of water, sewer rate increases to shore up utility fund
Summary
On first reading the City Commission approved an ordinance to raise water, sewer and reclaimed-water rates after a Raftelis study found rising operating costs, deferred capital needs and new regulatory requirements made the utility fund financially unsustainable without rate action.
The Dunedin City Commission voted unanimously on May 22 to approve Ordinance 25-04 on its first reading, a plan to raise water, sewer and reclaimed-water rates through fiscal 2030 to stabilize the city's utility enterprise fund.
A consultant from Raftelis told the commission the utility's revenues have not kept pace with operating-cost inflation, major capital needs and the regulatory changes that will limit surface-water discharges. "We need to take more immediate action to raise rates to fully fund the cost of operations," said Terry Bilvary, vice president at Raftelis.
The study, commissioned last year, sized a shortfall driven by higher-than-expected electricity, repair and construction costs, workforce-market pressures and an upcoming timeline to reduce or…
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