A rate increase will likely be coming for one city fund in the new year, however, rates will remain flat for another following the Emporia City Commission’s regular study session Wednesday morning.
Commissioners stated during that time that they were not in favor of increasing the city’s water fees at this time despite a $15 million loan repayment cycle getting set to begin. The reason for the city’s decision stems from stability within the water fund and revenues coming in higher than original expectations according to Emporia Mayor Rob Gilligan.
City Treasurer Janet Harouff advised against the decision saying she feels the increase is warranted to begin building up additional savings in the event revenues were to reverse course in the future. Commissioners will not be holding off on an increase in wastewater fees, however, as the city’s wastewater fund has not seen the same level of increased revenues over the past year.
Harouff proposed a $2 per meter increase with a consumption rate increase of 8 percent in order to cover the cost of the city’s loan repayments for the wastewater treatment plant. Harouff says if current rates continue the city will not be able to make its payments and maintain its required 20 percent reserve level past 2022.
Following lengthy discussions, commissioners instructed Harouff to review the possibility of a $2 fee increase with a 5 to 8 percent consumption rate increase and return with more information during the commission’s Dec. 22 study session.
In other business, Public Works Director Dean Grant proposed a contract with KLM Engineering for design and oversight of a reconditioning project on the city’s 12th Ave. elevated storage tank. According to Grant, the work would not take place until 2023 at an estimated cost of $1 million, which has been budgeted for.
KLM would not be responsible for the reconditioning work itself as that would be placed out to bid. Grant says he would like to have approval for the project well in advance of 2023 in order to secure the “best possible contractors” before their schedules fill up. Commissioners will consider approving the contract with KLM during their upcoming action session next Wednesday.
That meeting will be held inside the Municipal Courtroom at White Auditorium beginning at 7 pm.