By Logan Neill, Times Staff Writer
Tuesday, September 21, 2010
BROOKSVILLE — Citing increased costs and the need to continue with upgrades on its aging sewer lines, the Brooksville City Council has decided to raise water and sewer rates by 5 percent.
Finance director Steve Baumgartner said that the $50,000 the city has been taking in annually from its utilities customers is not enough to pay the $67,000 annual debt service on loans it took out to upgrade its sewer lines.
"It's difficult to service the loan without an increase," Baumgartner told the council Monday night.
Baumgartner said that the rate increase will take effect in October. The new rates, he said, will cost residential customers an average of $2 more per month. A residence using between zero and 3,000 gallons of water per month would be charged a minimum $19.80. The new rates will also apply to commercial customers.
Minimum sewer rates will increase to $22.54 per month.
The measure also calls for a new provision, automatic annual increases based on an annual index adopted by the Florida Public Service Commission for water and sewer facilities.
Baumgartner pointed out that the city's utilities customers have not had a rate increase in three years. Since that time, the city, like most municipalities, has faced steadily decreasing revenue.
Last year, he said, the city was given a $1 million federal stimulus loan through the state Department of Environmental Protection to upgrade about 25,000 feet of clay sewer pipe in the city's residential section.
Logan Neill can be reached at (352) 848-1435 or lneill@sptimes.com.