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Mayor proposes smaller increase to water and sewer rates

Dec 1, 2015 | 5:31 AM

The city’s water and sewer rates were set to increase 8.9 per cent come Jan. 1 but Mayor Greg Dionne has other plans.

At the end of Monday night’s city council meeting Dionne put forward a motion that requests a review of the current rates, which could lead to a smaller increase of two per cent.

“I’ve spoken to lots of residents and residents don’t have an issue with us (the city) taxing for the work we can do in the year that we tax it but they don’t want us building up reserves and not doing the work,” he said.

The issues this year on 8th and 9th St. E were used as examples of work getting backlogged.  

Dionne also used his own bill to illustrate the flaw in the rate structure.

“My property taxes went up $60 and my water bill went up $100, there’s something wrong with that picture,” he said.

City administration has been asked by city council to review the water, sewer and sanitation rates and report back to city council in time for the next meeting on Dec. 21.

Mayor Dionne is hoping this will allow city council time to vote on and amend the rate increase in time for the New Year.

The Mayor’s motion was met with some cautious optimism by the rest of city council.

“We could have gotten the additional eight or nine per cent this year and we would have gotten a lot of money into our coffers but at times you have to take another sobered thought at some of these issues and allow the tax payer to have just a bit of breathing room,” said Coun. Don Cody.

Cody added there is a time for small, steady increases but said now was as good as time as any to give rate payers a break.

Coun. Ted Zurakowski was also in favour of the Mayor’s motion but had some concerns.

“What work will be left undone over the past year because of this proposed motion? I don’t know that and we don’t have that information in front of us,” he said.

Mayor Dionne agreed that Zurakowski raised a good point and asked for the information to be included with the report to city council later this month.

The City’s director of public works informed council the report may not be ready in time for the next council meeting. 

City council was informed that if that happens, they would be required to vote to amend the bylaw to freeze the current rates.

Coun. Martin Ring said this situation would raise another important question.

“Do we have to have some information or submission go back to the Rural Water Authority with regards to rates and fees if we are freezing rates and fees?” he asked.

Ring also requested the reserve balances be included in the final utility report due out in January.

The final draft of the Mayor’s motion was altered to include the concerns brought forward by Coun. Ted Zurakowski and Coun. Martin Ring.

The Mayor’s motion was passed unanimously by city council.

 

nmaxwell@panow.com

On Twitter: @nigelmaxwell