Athens officials outline $40 million wastewater upgrade, propose multi-year sewer rate increases
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Summary
City staff and Robtelis consultants presented a five-year wastewater capital plan that estimates roughly $40 million for plant improvements and recommends a mix of bond financings and rate increases (including 7.5% on 4/1/2026) to make the system self-sufficient; council discussion focused on drainage commitments and timing for Strain Road work.
Council President opened the meeting and introduced a presentation on the city's wastewater master plan and financing options, delivered by city staff and consulting firm Robtelis.
The presentation said the city is facing substantial sewer system needs and outlined a multi-phase approach that leans on debt financing. Staff estimated Phase 1 wastewater treatment plant improvements at about $40,000,000 and described potential bond issuances in 2026 (about $20 million) and 2028 (approximately $18 million), with typical debt terms modeled at 30 years and roughly 4.5% interest.
Michelle Galvin, a Robtelis consultant, summarized the firm's revenue-sufficiency forecast and recommended changes to rate timing and levels to cover operations, maintenance and assumed debt service. "We are recommending a rate increase of 7 and a half percent on 04/01/2026, another 7 and a half percent about 18 months later, then a 25% increase the following year, followed by 3% annual indexing," Galvin said. She also recommended switching the annual indexing implementation date from July 1 to Oct. 1 to better align with the city's fiscal calendar.
Under the consultants' model, a single-family household using 4,000 gallons a month would see a monthly sewer bill grow from roughly $60.70 under current rates to an estimated $73.89 by 2030 under the proposed path; Robtelis noted that projection still falls below the current average for nearby utilities as measured in their analysis.
Council members asked whether bonding the sewer program would affect the city's previously stated $4.5 million commitment to drainage work on Strain Road. Mayor William R. Marks responded that he did not expect the sewer-bonding approach to reduce or delay the Strain Road commitment and said staff would return with more precise cost estimates once drainage work and related funding are clearer.
No formal council action was taken on rates or bonding at the meeting; staff and consultants said the reports and recommended rate schedule will be brought back for further deliberation and potential ordinance or resolution action by the council.
