Selectmen to decide new sewer rates tonight

In response to a recent workshop the selectmen held with Mark Abrahams, CPA, of the Abrahams Group, to explore ways to charge sewer customers in order to balance the Sewer Enterprise Fund budget deficit, the board will decide tonight on a new fee structure so that July 1 bills to Wannacomet Water customers reflect the adopted model.

The projected fund revenues from sewer fees, permits and privilege fees for new users comes to $5,645,700 against the sewer budget of $5,871,550. The board is considering an assortment of structures, including a change to the current seasonal rate schedule expanding it from June through September to May through October and possibly increasing the seasonal rate from $5 per 100 cubic feet of use. Wannacomet manager Bob Gardner said that the expanded schedule more accurately fits the reality of peak usage.

At tonight's public hearing the board will also decide on raising the monthly sewer service charge, potentially from $25 to $30, and raising the water meter equivalency fee from $25 for the standard 5/8-inch and one-inch meter sizes to perhaps $35.

"If you increase the service fee by just $5 or $10 it generates a lot of revenue," Abrahams told the board at the workshop.

Gardner explained that the service charge is a common means to cover a utility's costs, such as debt commitments, whether any water is sold or not. He compared the situation with a car owner's not using their vehicle but still being obligated to regular car payments. Normally, that charge pays the company's fixed expenses, but now there is a deficit. The selectmen asked Gardner to examine the meter equivalency fee as one way to close the budget gap. I