Knox Board of Works Corrects Clerical Billing Error

Due to a clerical error, some Knox sewer customers will be seeing a rather steep increase in their sewer bills. Clerk-Treasurer Jeff Houston told the Board of Works last week a step was missed in his office to account for the non-metered customers when the first phase of the rate increase took effect in April of 2016.

He says the billing software company the city uses prepares a rate increase file, and the utility clerk loads it into the computer and verifies the charges. Houston says the software automatically adjusts rates for water and sewer customers. However, rates for the 63 customers with well water who just pay a flat rate to the city for sewer service had to be adjusted manually.

Houston says that step was missed.

“In the computer, she should have gone in and changed them from $41.83, which was the rate in March, to $52.72 for the April rate. But since this was the first time it was done, she missed it. So what I’m saying is Keystone made the other changes, but we were supposed to go in and change flat rates.”

Houston told the board the error was discovered when preparing the reference sheets for the January 2017 rate increase.

“If they would have been billed, the amount would have been $10.89 higher for the last nine months, resulting in $98.01 per customer for the remainder of the year. The total amount for all customers that went unbilled for 2016 was $6,174.73, which is 63 people times $98.01.”

The city sends 1,500 utility bills each month. Most customers are charged for what they use because they have meters, but the 63 customers who only get sewer service pay an average rate.

“The increase has been put on there. It’s an honest mistake, and I’ll own it. You know, I mean it was in my office. It was one of those things that happens. You know, it’s unfortunate. But I don’t think the customer should have to pay to make up for these 10 months that they weren’t charged, because now they’re going to have to pay the increase.”

Houston says the affected customers are required by state law to connect to the municipal sewer system due to their proximity. Since they do not have meters for water, they are billed an average of what all city sewer customers pay. He says it’s in their advantage financially to connect to the city’s water system, but they cannot be forced to do so.

The Board unanimously approved a carefully worded one-time forgiveness for used but unbilled sewer charges for the 63 affected customers so as not to set a precedent.