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Beach OKs water, sewer rate hike
Colonial Beach approves increase in water and sewer rates
Date published: 1/17/2009

BY FRANK DELANO

After almost a year of deliberation, the Colonial Beach Town Council has voted to increase residential water and sewer rates by $10 a month.

The council's unanimous action Thursday night also raises water and sewer connection fees from $6,000 to $12,000 starting July 1.

Councilwoman Karen Payne said the increases are necessary to meet federal loan requirements, a state order to repair leaky pipes, increased operating costs and a projected utility budget shortfall caused by fewer-than-expected connections.

Councilman R.W. "Sparky" Ridgely and acting Town Manager Valda J. Foulds also identified $62,750 in budget items that could be slashed if town finances worsen. The items include a freeze on hiring new employees and severely limiting overtime, travel, training and mileage for existing employees.

Ridgely and Foulds said they have also found that furloughing town employees could save up to $7,000 per day. But furloughs, they said, are not an immediate prospect.

Karen Payne, the council member who chaired the rate committee, said the utility rate increase would be town's first in 14 years. A committee report said the new income is necessary to pay:

The town's share of upgrading its sewage treatment plant ($133,580 annually)

Repairs for water and sewer lines ($100,000)

Establishment of a capital-improvement fund ($100,000)

Increased operating costs ($144,000)

Making up a $120,000 budget shortfall due to fewer-than-projected connections.

In other business, the council passed a resolution approving a proposed General Assembly bill that, if enacted, would legalize the crossing of State Route 205 by golf carts.

Frank Delano: 804/333-3834
Email: fpdelano@gmail.com



Date published: 1/17/2009



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