Dec 04, 2022

Official resolution to increase Hutch water and sewer rates on Tuesday agenda

Posted Dec 04, 2022 10:20 AM

HUTCHINSON, Kan. — The Hutchinson City Council will consider the official resolution to put in place the water rate changes they agreed upon earlier this year at its meeting on Tuesday.

In May 2022, a water rate study was completed. The purpose of this study was to evaluate the adequacy of revenue under existing rates to meet future funding requirements and where needed, provide recommendations for revenue increases to address projected shortfalls.

Summary of study findings:

• Revenue increases are necessary but align well with industry averages

• Proposed rate increases maintain targeted reserve balance and fund needed infrastructure improvements

• Typical residential bills remain regionally competitive

Proposed water rates for 2023 through 2027 were discussed with the City Council in study sessions on May 24, 2022, and June 13, 2022. Staff recommended adopting a 5-year rate plan, with the opportunity to revisit the plan with Council if required during the annual budget process.

The City Council agreed to the proposed water rates. The new water rates would become effective on January 1, 2023.

The table below shows the proposed water rates for a residential customer using 500 cubic feet of water per month.

The graph below shows a regional comparison of residential water bills assuming a water use of 500 cubic feet per month. Hutchinson’s rates are regionally competitive.

On the sewer side, in July 2020, a sewer rate study was completed. The purpose of this study was to evaluate the adequacy of revenue under existing rates to meet future funding requirements and where needed, provide recommendations for revenue increases to address projected shortfalls.

Summary of study findings:

• Revenue increases are necessary but align well with industry averages

• Proposed rate increases maintain targeted reserve balance and fund needed infrastructure improvements

• Typical residential bills remain regionally competitive

Proposed sewer rates for 2023 through 2027 were discussed with the City Council in a study session on May 24, 2022. Staff recommended adopting a 5-year rate plan, with the opportunity to revisit the plan with Council if required during the annual budget process.

The new sewer rates would become effective on January 1, 2023.

The table below shows the proposed sewer rates for a residential customer using 500 cubic feet of water per month.

The graph below shows a regional comparison of residential sewer bills assuming a water use of 500 cubic feet per month. Hutchinson’s rates are regionally competitive.

The Hutchinson City Council meets at 9 a.m. Tuesday at City Hall.

CLICK HERE to download the Hutch Post mobile app.
CLICK HERE to sign up for the daily Hutch Post email news update.