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Baldwin City staff to propose 3% water and sewer increase; trash costs to rise 9%

Baldwin City Council · July 9, 2024
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Summary

City staff will bring a resolution to the July council meeting proposing a 3% increase to water and sewer rates to align with bond projections and inflation; trash service fees would rise by 9% as a contractor pass‑through. Council discussed rate structure reform and timing for a broader overhaul.

City staff recommended the Baldwin City Council adopt a 3% increase to tiered water and sewer rates and confirmed a separate 9% pass‑through rise for residential trash service, both slated for formal consideration at the council’s next meeting.

CEO Emily Wood said the water and sewer increase is driven by population projections and bond requirements and described the change as an inflationary adjustment, noting engineers are preparing a fuller rate‑structure overhaul. She said the goal is to have a new rate design in place by fiscal 2026 and indicated the longstanding administration fee could be removed under the revised structure.

“Engineers did a cost analysis for our bond,” Wood said, explaining the increase is intended to ensure the utility can meet debt obligations and fund maintenance. She told council the city is currently ‘‘a little shy’’ of required revenue projections and recommended the modest 3% increase to stay on track.

On trash service, staff said the contractor‑driven pass‑through results in a 9% increase for residents this year. Wood described municipal collection as more costly than contracting and said FC Sanitation remains the provider while the city prepares to re‑bid the service next year.

Council members pressed staff on the rationale and the timeline for additional reforms. Wood said the current tiered structure dates to the 1970s and disadvantages certain high‑water users; the planned overhaul aims to align rates with American Water Works Association standards and remove structural anomalies that officials said were not designed to account for full administrative costs.

The resolution and separate trash rate update will appear on the Monday agenda for formal action; no votes were taken at the July 9 work session.

What’s next: staff will present the formal water and sewer resolution and the trash rate adjustment at the next council meeting for vote.