Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget Utilities topic
No spam. Unsubscribe anytime.
Stuart council reviews FY2027 budget that would raise residential base water charge to $70
Summary
Town Manager Bryce Simmons presented a $2.49 million FY2027 budget that proposes raising the residential base water charge from $53.26 to $70 to absorb a $600,000 water bond; the council asked for alternative rate models and protections for elderly and disabled customers before advertising the budget.
Stuart Town Manager Bryce Simmons on March 18 presented a Proposed FY2027 Master Budget totaling $2,487,425 and urged the council to consider a utility rate restructuring to cover a $600,000 water infrastructure bond. The recommended change would raise the residential base rate for customers using under 2,000 gallons from $53.26 to a flat $70 per month, an increase of $16.74 affecting about 156 customers.
The rate change is tied to new wholesale “True Cost of Service” figures submitted to the Patrick County Public Service Authority. Mr. Simmons said those wholesale rates, calculated under the 2006 Utility Agreement using the Town’s FY2024 audited financials, are $6.28 per kGal for water and $8.52 per kGal for sewer and are expected to take effect July 1, 2026.
Council members asked for alternatives and customer protections before any advertised budget. The council requested that the Town Manager provide alternative base models (for example, base allowances up to 3,000 or 4,000 gallons) and research potential discount programs for elderly and disabled citizens. The budget presentation also notes proposed caps on usage rates below the PSA wholesale rates (staff cited example caps of $5.75/kGal for water and $7.50/kGal for sewer) to reduce customer exposure beyond the base increase.
The budget packet lists other fiscal adjustments intended to protect the General Fund: fully funding the sanitation vehicle maintenance line ($55,000), restoring $50,000 in utility capital funding, and reducing the General Fund utility subsidy by more than $157,000 while directing remaining cash surplus to reserves.
Next steps: staff will prepare alternative rate scenarios and research discount options; the council must review those alternatives before advertising the budget and before any rate changes become effective. The PSA wholesale rate change is slated to take effect July 1, 2026, which could accelerate council decisions about local rate structure and effective dates.
