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Bullhead City staff propose phased water and sewer rate increases to shore up aging system
Summary
City staff presented a three-year, phased plan to raise water and sewer rates to cover operating shortfalls, repay borrowing from the general fund and pay for decades of deferred infrastructure work; no formal action was taken and council set a schedule for public notice and a hearing.
Bullhead City officials presented a proposal during a special council meeting to raise water and sewer rates in phases over three years to cover operating shortfalls, reduce annual borrowing from the city general fund and pay for extensive infrastructure repairs. No legal action or vote was taken at the meeting.
Utility staff said the water enterprise is operating with recurring operating deficits and an unusually high backlog of repairs after the city’s takeover of the former private operator. “We are in a deep hole is what that what we’re trying to tell you,” Utilities Director Mark Clark said, summarizing the city’s financial position and long list of capital needs.
The proposed water schedule shown to council would raise base water rates by a phased series of percentage increases (about 19% in year one, then roughly 14% in each of the following two years) and consolidate two legacy rate structures (Mohave and North Mohave) into a single citywide rate. Staff presented sample bills showing the dollar effect for typical customers: the average household (about 6,000 gallons a month) was estimated to see roughly an $18 monthly increase by the end of the three-year phase-in, while customers with very large monthly use (used as examples at 17,000 and 27,000 gallons) would see larger, higher-dollar increases. Staff repeatedly emphasized that percentage increases read large but that the monthly-dollar impacts were smaller for most customers.
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