MORRISBURG – Facing continually rising costs, water users in South Dundas could be facing a double digit percentage increase on their water bill later this year.
South Dundas will hold a special council meeting this afternoon (Tuesday) at 4 p.m. to review the water and sewer budgets and rates.
Council is looking at increasing the fixed water rate by 10 per cent but leaving the consumption rate unchanged. There are no proposed changes to the sewer rates.
The last time the water and sewer rates were adjusted was 2014.
The current fixed rate is $363.12 per year ($30.26 per month). That would increase to $33.29 a month under the proposed increase.
In a report by the accounting assistant and deputy treasurer to council, the operating and capital water budget for 2016 is projected to run an $80,048 deficit this year.
As well, the current revenue from the water levy is not covering the long-term loan (until 2028) for the Iroquois water treatment plant.
The rate increase would cover costs but wouldn’t account for any future replacement of equipment or parts that break or wear out at the water plants.
The township will be looking at another report in the future about addressing inequities in the water rates in South Dundas.
During this afternoon’s special meeting, the township will also discuss 20 year financing through Infrastructure Ontario to upgrade the two municipal water towers, which could cost as much as $2.5 million.