Residents in Gillett are seeing their first water rate increase in over a decade as the Gillett Common Council voted unanimously Oct. 1 on a 40.5% increase.
Currently, fees are $76.34, with residents paying $7.29 monthly for a 5/8-inch water meter, $28 for the sewer charge, $11.76 for public fire protection, $20 for a sewer rehabilitation fee, $3.54 for every 1,000 gallons of water and $5.75 for every 1,000 gallons of sewer processed.
Under the new rates, the fee for the water meter triples to $22. Public fire protection will more than double to $25.65, and the cost for water increases to $5.89 per 1,000 gallons.
Service charges will also increase to $22 for those with 3/4-inch meters, $27 for 1-inch meters, $33 for 1 1/4-inch meters, $39 for 1 1/2-inch meters, $53 for 2-inch meters, $80 for 3-inch meters, $122 for 4-inch meters, $175 for 6-inch meters, $236 for 8-inch meters, $296 for 10-inch meters and $357 for 12-inch meters.
Fire protection charges will increase to $25.65 for 3/4-inch meters, $64.40 for 1-inch meters, $95.10 for 1 1/4-inch meters, $128.70 for 1 1/2-inch meters, $205.90 for 2-inch meters, $385.40 for 3-inch meters, $641 for 4-inch meters, $1,283 for 6-inch meters, $2,054 for 8-inch meters, $3,081 for 10-inch meters and $4,108 for 12-inch meters.
The rate hike has already received the blessing of the Wisconsin Public Service Commission, which put out a report Sept. 9. The city applied to the commission in January to increase the water rates, and the last rate change, according to the PSC was done in December 2015.
In the report, the commission found the current rates for water utility services produced $551,096 in operating revenues, falling short by $474,965.
The city had originally requested a rate of return of 6.8%, but the commission approved a 6.5% rate increase instead, finding the rate would provide the city with sufficient earnings for future capital and operational needs.
The commission recommended that Gillett apply for smaller rate hikes more frequently in the future to avoid the sticker shock.
The commission’s report said no public comments were received electronically while the rate case was being considered this year, but Seneca Foods, one of the larger businesses in Gillett, inquired during a public hearing about how the higher water rates would address its operations, as the company uses much larger quantities of water than community homes.
City Clerk Chelsea Anderson noted that the rate hike was spurred by the state Highway 22 road reconstruction work, a $4 million project. Anderson said the PSC found that the city’s rates were not enough to cover utility expenses, so the increase was needed to make the water and sewer utility more solvent.
The rate hike did not include anything related to sewer operations, Anderson said.
“They had a meeting in the afternoon while we wanted to hold a meeting at night where more people could attend,” Anderson said about the PSC.
Only two people were in attendance for the council meeting and the utility committee meeting prior, where the rate increase was brought forward.
The new water rates will be seen on residents’ bills beginning Oct. 31.
“We bill a month behind, so these rates will be for the water used between Sept. 15 and Oct. 15,” Anderson said.
lpulaski@newmedia-wi.com
