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Centerton water and sewer study proposes base rate hike; council schedules sewer hearing Dec. 9

City of Centerton City Council · November 10, 2025
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Summary

The Water & Sewer Commission presented a rate study recommending a $0.50 increase to the base water rate for 2026 and a $145 per 1,000‑gallon flow charge (reflecting a $0.35 wholesale pass‑through plus other cost components); council set a public hearing on sewer rates for Dec. 9, 2025.

The Centerton Water & Sewer Commission briefed the City Council on Nov. 10 about a multi‑year rate study and plans for both near‑term rate adjustments and longer‑term regional wastewater planning.

Anderson, speaking for the commission, summarized recommended changes the commission accepted: "For 2026, the base water rate will be proposed to increase 50 cents. We will increase the flow rate to $145," Anderson said, explaining the $145 per 1,000‑gallon figure includes a $0.35 wholesale charge plus an additional component recommended by the study.

The commission noted statutory and accounting constraints under Act 605 of 2021, including requirements to recover depreciation in rates and to set aside 5% of operating revenues for water and sewer repairs. Commission staff said these requirements affect how planned debt-service and depreciation are built into future rate calculations.

Council set a public hearing on a proposed sewer base increase (Resolution 2025‑43) for Dec. 9, 2025, at 6 p.m., to provide the public an opportunity to review the rate-study materials and comment before council takes any ordinance action. Staff also noted a pending, separate rate study for the regional treatment works in Decar, and the commission described an ongoing state‑sponsored study of a possible multi‑municipality or regional organization to expand wastewater treatment capacity.

Council acknowledged receipt of the water and sewer rate studies and adopted the related budget measures for 2026. Staff warned that any regional organization or major expansion recommended by the state study could have broad cost implications for participating cities and that more detailed proposals will follow as the regional study progresses.

Next steps: the public hearing on sewer rates will be held Dec. 9, 2025; staff will circulate rate‑study documents in advance and bring any ordinance language back for council consideration after public input.