Residents of the City of the Village of Clarkston should expect a significant increase in sanitary sewer rates over the next three years.
At their March 14 meeting, the city council received a memo from Independence Township DPW Director Linda Richardson outlining a preliminary updated sewer agreement.
The update would increase the amount city residents pay the township per quarter per residential equivalent unit (REU) by approximately $15.40 at the end of a three-year period. Figures from the memo show that while the city paid the township $8,814 per year from 1981-2005, after the increases the city would pay $38,127 per year by 2008.
Figures provided in the memo, state that $40.08 of the $60 charged by the township to its customers goes to the Clinton-Oakland Sewage Disposal System, with the remaining $19.92 going to operate and maintain the system.
‘We haven’t changed it since 1981,? said Richardson, who explained the current rate was not enough to operate and maintain the city’s system. ‘We should have been looking at it yearly. When we looked at ours, we should have looked at theirs.
‘I hate to see any increase, but when you see the history behind the reason for the increase it’s hard to disagree,? said Mayor Sharron Catallo. ‘I feel sorry people are going to have increases, but this one for maintenance and so forth is necessary.?
According to the memo, the previous maintenance agreement between the township and city had a set rate of $4.52 per quarter per REU for the township to maintain their sanitary sewer system, while township residents paid $19.92.
As stated in the memo, the proposed increase for the city would be phased in over a three-year period increasing approximately $7 in 2006, another $4.20 in 2007 and $4.20 in 2008. After the increases, city residents will pay $19.92 per quarter per REU; the same rate the township charges its customers.
‘All $19.92 will go to operation and maintenance? we treat them like we do the township. The city is a little more maintenance intensive because of the restaurants,? said Richardson.
‘We’re doing it gradually so hopefully people will understand and it won’t cause hardship,? said Catallo.
City Manager Art Pappas explained that the memo represented a preliminary agreement the township and city council must review.
At the meeting, during which the council took no official action on the issue, several council members posed questions on whether it will cover a major breakdown in the system, whether the money paid by the city is kept separate from the township, and total maintenance costs.
Attorney Thomas Ryan advised the council to have Richardson attend a meeting to discuss the matter.
‘What the township is saying is the $4.52 is not adequate to maintain the system,? said Ryan.
In a phone interview, Richardson stated the $19.92 covers maintenance and operation costs, but does not account for a severe breakdown in the system. She also said she had no problem meeting with the council to answer questions.
Pappas said the city has about $70,000 in a reserve fund of its own to address any major breakdown.
The memo stems from a Feb. 24 meeting between Richardson, Clarkston Mayor Sharron Catallo, Pappas, Randy Ford and Gary Tressell from Hubbel, Roth and Clark, Inc. on the sanitary sewer issue.
In addition to the potential increased rates from the township, Pappas said he expects a few dollar increase from Detroit which is not unusual. He estimated residents would see an increase in August 2006.