Oak Harbor residents are facing a 12.97 percent increase in fees for water, sewer, garbage and storm drains.
At the March 6 meeting, members of the city council will be asked to approve the new utility rate increases, but residents will have the chance to speak their minds or submit written comments about proposal.
The city estimates that rising costs would increase the monthly bill for a typical, single-family household from $90.10 to $101.79 for water, sewer, garbage and storm water.
City Finance Director Doug Merriman said the annual rate increases are usually around 3 to 4 percent, or at about the inflation rate, but not this year.
“Each of the different utilities has something that is occurring from outside of the city that is requiring an additional rate change,” Merriman said.
In other words, dreaded unfunded mandates are fueling the increases.
Solid waste rates may increase by 8 percent, but Merriman said the council vote on that fee hike will be delayed at least a month.
The reason for the anticipated rate growth, Merriman said, is that Island County recently proposed an increase in garbage tipping fees from $85 to $104.25 per ton — an increase of about 23 percent. The city has a contract with the county to handle its solid waste.
Under law, the county’s proposed garbage rate hike won’t go into effect for 45 days, if it goes into effect at all. City leaders hope to negotiate with the county in the meantime.
If the rate is increased as anticipated, the monthly cost of garbage pickup for the typical family will climb from $18.42 to $19.90.
Water rates are climbing 15.6 percent. For the typical home, the monthly cost of water will increase from $32.58 to $37.67.
About 9.6 percent of the increase is due to three Department of Transportation construction projects on Highway 20. The city had to move waterlines that run along the highway at the costs of millions of dollars.
The renewal of a contract with the city of Anacortes — which sells water to Oak Harbor — included an adjustment that translates to a 0.9 percent rate increase. Also, “operational costs” have increased 5.1 percent over the last year, according to the city.
Sewer rates will increase 8.5 percent. For the typical family, the monthly cost of sewer will increase from $33.66 to $36.52.
Most of the markup is due to $2.9 million in sewer construction projects slated for this year, largely related to the treatment lagoons. Merriman said the city has to upgrade treatment in order to comply with new state requirements. Also, there’s a 1.9 percent hike due to increased operational costs.
Storm drain rates are swelling by 42 percent. For the typical family, the monthly cost of storm water will increase from $5.44 to $7.70.
Merriman said the increase is needed because of upcoming repair and construction projects. Most notably, an outfall that brings storm water out into the harbor requires major repairs.
Also, Merriman said some money in the fund is being socked away in anticipation of costs associated with new, more stringent state requirements regarding storm water.
It could be pricey, Merriman said, but the exact costs aren’t known. Staff is reviewing the storm drain project list to figure out what will be needed. They will bring a recommendation for another possible rate increase back to the council later in the year.
