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Council advances 7% water and sewer rate increase for further consideration
Summary
The council approved first consideration of a 7% across-the-board increase in water and sewer rates to address rising treatment and maintenance costs and to close an estimated gap from a previous utility rate study; staff said average households should expect modest monthly increases.
The Manchester City Council voted to proceed with the first consideration of an ordinance that would raise water and sewer rates across the board by 7 percent, city staff said during the meeting.
Staff reported a utility rate analysis by Spear Financial had previously suggested the city was roughly 21 percent behind recommended rates; the proposed 7 percent increase is intended as an incremental step to close that gap while spreading the impact over multiple years. The council’s discussion cited higher treatment, maintenance and insurance costs as drivers of the increase.
Staff presented example impacts for residential customers: they said the base monthly charge would increase by about $1.39 and that a typical two-person household (approximate use presented by staff) would see an increase in the neighborhood of $3.67 per month under the proposed 7 percent change; larger users could see higher dollar changes. Councilmembers asked about allocation of prior water-fund expenditures (for example work on Grand Avenue); staff said the precise chargebacks to that project were not available at the meeting and offered to follow up.
The council voted to proceed with first consideration; further readings and a formal adoption vote remain to be scheduled.
