Columbia City Council approves change to water rate at Monday night meeting
Alison Patton
COLUMBIA, Mo. (KMIZ)
The Columbia City Council on Monday evening voted 5-0 to change its water rates.
According to council documents, the water ordinance would increase revenue by $3.6 million, or 12%, and would take effect with the start of the fiscal year on Oct. 1.
The council will decide on changing electric rates at its next regular meeting.
The electric utility ordinance, if passed, would also take effect Oct. 1, and would increase revenue by $2.8 million, or 2%, according to another council document.
The proposed price is based on the current Consumer Price Index, according to the council document for electric rates.
“This isn’t just a money grab. This is to go to pay for projects, to pay for materials, to pay for personnel and, you know, pay update staffing costs, those type things,” spokesperson for Columbia utilities Jason West said.
The utilities department says these changes are necessary because of the rising cost of operation and maintenance expenses, and to preserve adequate funds for both water and electric.
The city anticipates the increased water revenue will decrease monthly payments for about 65% of residential customers, according to a previous ABC 17 News report.
However, electric rates would increase service rates on all customer charges, demand charges, energy charges and dusk-to-dawn lights by 2%.
The customer charge for single-phase service would go up from $22 per month to $22.44, and the three-phase service would go up to $33.66 from $33.
West said it will be a couple extra dollars tacked onto the monthly electric bill.
“They will see an increase, but it’s not going to be 25 to $30 increase that most people may see under $5, an increase in their actual bill, depending on if they’re still using the same amount of electricity,” West said.
The energy charges vary based on how much energy is used and in what season. High utility costs have been squeezing consumers in the Midwest during the past year. Natural gas prices are up nearly 15% compared to a year ago, while electricity costs 7.4% more across the region.