Residents of Sycamore may soon face increases in their city water bills, as proposed by local authorities 2023

Residents

july12 2023

Residents of Sycamore might soon notice an increase in their water utility payments if the Metropolis Council gives its approval.

City officials have stated that these price hikes are necessary to compensate for revenue shortfalls and fund infrastructure improvements. Residents

The proposed increases for water charges, meter maintenance, and radium testing will be voted upon at the upcoming Monday meeting of the Sycamore Metropolis Council. The meeting is scheduled at the Sycamore Metropolis Center located at 308 W. State St. in downtown Sycamore.

City documents reveal that the request for these increases comes from Matt Anderson, the Public Works Director, who seeks to offset expected revenue shortfalls required for well and water tower maintenance, as well as other planned capital projects. As of now, Anderson and City Manager Michael Hall have not responded to requests for comments made on day.

This vote comes just a few weeks after Sycamore officials announced the settlement of a $6 million class-action lawsuit regarding concerns over water quality, including issues such as foul odor, discoloration, and documented increases in lead and chlorine levels. Residents

David Stouffer, the Fourth Ward Alderman, believes that the requested rate increases are unrelated to the lawsuit settlement. He states that the matter has been resolved and adds that there have not been any rate increases for several years. According to Stouffer, the proposed increases are necessary to cover maintenance costs and ensure that the city continues to provide high-quality water and services to its residents. Residents

Less than three years ago, the Sycamore Metropolis Council raised residents’ water rates through a vote in . The increase included a $6.90 base charge on water bills to support improvements to the water system.

As per the settlement agreement reached in January, the city is obligated to contribute an average of $1.2 million annually towards water infrastructure improvements until 2027. The agreement also mandates additional testing for lead and chlorine levels every year until 2025. Residents

Although Sycamore already conducts annual water testing, the settlement requires a larger pool of properties to be tested using a laboratory chosen under the agreement.

According to city documents, water user fees for this year are projected to generate $2 million in revenue, which falls $110,000 short of the city’s budgeted amount of $2.1 million.

Stouffer stated, “There hasn’t been a rise, from my understanding,

in a number of years, so that is simply kind of a rise to offset the price of upkeep and ensure we’re nonetheless offering the quality water and quality services the city deserves.”

In a letter dated March 1, Anderson addressed the issue of water user charges and their importance in generating revenue. He stated that the goal is to generate $2.39 million in income from these charges. This revenue will be utilized to fund operational expenses, planned capital infrastructure enhancements, and the creation of an operational reserve.

Anderson emphasized that additional funding is necessary to support inspections and projects such as the replacement of water wells, maintenance of water towers including painting, and upgrades to the digital systems used for monitoring water quality. He wrote, “The current water rate does not include funding for planned ‘inside-the-fence’ infrastructure improvements. A new fee structure is required to fund these planned enhancements.” Residents

Currently, the water billing structure in Sycamore is based on a tiered system determined by metered water usage.

Each unit represents 748 gallons of water. The highest water rate is applied to households that consume four units, equivalent to 2,992 gallons, and they are billed at $3.20 per unit. Conversely, the lowest water rate is reserved for those who consume over 170 units, amounting to 127,160 gallons, and they are charged $1.72 per unit. Residents

In 2018, the City Council voted to gradually phase out the tiered billing system. First Ward Alderman Alan Bauer believes that the need to revamp the water billing structure has been accelerated by inflation. Over the next five years, the cost difference between the highest and lowest tiers will decrease from dollar 1.48 to 38 cents per unit. City documents indicate that the public works staff has proposed three options for the City Council to consider at Monday’s meeting. Residents

If approved, all options would be implemented in May, as outlined in the provided documents.

Options for the upcoming vote include potential changes to the rate structure.

The first option presented to the City Council suggests reducing the tiers to two. Under this option, customers using less than 1,000 units of water (equivalent to 748,000 gallons) would be charged $3.37 per unit, while those using more than 1,000 units would pay $2.10 per unit. Residents

The second option maintains the existing tier structure but increases rates for all customers. For instance, a household using four units would be billed $3.74, which is 59 cents more per unit compared to the current rate. Similarly, a property using more than 170 units would be charged $2.22, an increase of 35 cents per unit.

The third option proposes eliminating the tier structure altogether and implementing a flat rate of dollar 3.23 per unit, regardless of water usage.

City documents indicate that small and large residential properties would experience minimal rate increases under the two-tier and flat rate options. However, industrial facilities could face a significant increase, potentially paying up to $15,313 per month for water under the flat rate option.

The expected revenue generated from each option is not specified in the documents. Residents

Alan Bauer, the First Ward Alderman, expressed his support for reducing the number of tiers but has not yet decided on a specific option. Regardless of his choice, the outcome will result in increased water utility bills in Sycamore.

In addition to the water rate adjustments, the City Council is expected to vote on a request from the public works department to increase the meter maintenance fee for all residents. The proposed change includes a 25-cent monthly increase for those with a 0.625-inch meter, while those with a 6-inch meter would see the rate jump from dollar 42.54 to dollar 50.41.

Furthermore, the public works department has requested an increase in the monthly radium removal charge. Properties with the smallest meter size would see rates increase from dollar 6.75 to dollar 7.30, while those with the largest meters would face a $37.70 increase, from dollar 462.66 to dollar500.36.

Bauer, echoing the sentiments of Matt Anderson, blamed inflation for the necessity of raising user rates. City documents highlight that the tiered billing structure has caused average bill rates to lag behind the consumer price index by over 14% in the past four years.

Bauer also expressed concern about large users being charged less than the actual cost of providing water to the city. He stated, “If you consider what it costs the water department, compared to how many gallons we pump and produce and manage and provide, everything that goes into it, there’s a dollar cost per gallon.

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