Study: Bellevue should raise water and sewer rates up to 20 percent
A rate review by the Ohio Rural Community Assistance Program found the sewer fund about $450,000 short of what it needs, counting a reserve.
A utility rate study handed to Bellevue City Council on Monday recommended raising water and sewer rates by up to 20 percent.
Josh Eggleston of the Ohio Rural Community Assistance Program, or RCAP, had worked on the review since the previous summer. Most of the council members who asked for it had since been replaced.
The numbers
Eggleston told council’s utility committee the city collects about $2.3 million to $2.4 million a year in sewer revenue. With a reserve built in, he estimated the true cost at about $2.8 million, leaving a 2012 gap of about $450,000, or 16 percent. He said both utilities should bring in enough to keep at least three months of operating costs in reserve.
Council sets sewer rates and the mayor sets water rates, so Eggleston focused on sewer and planned to meet separately with Mayor Donald Berkey on water. He presented five rate models that change the base charge, the usage charge, the base usage amount or add a surcharge, and recommended two of them. He suggested the city use the same approach for water.
Council President Karen Justice asked members to study the report for a couple of weeks before a committee meeting and public hearing. The RCAP network helps small towns with water and sewer finance.
Background: Bellevue’s aging waterlines and the citywide CRA. More in Local News.