The North Judson Town Council will soon consider increasing water and sewer rates for the first time since 2008. CPA Eric Walsh with Umbaugh and Associates says the current rates are not adequate to cover operating costs, which has forced the town to dip into its reserves.
He recommends an increase of about $6 per month for a residential water customer with an average usage of 4,000 gallons. That cost includes sales tax and the fire hydrant fee.
On the sewer side, the average customer’s bill would go up by $8 per month if the town accepts Walsh’s recommendations.
He told the council during a special-called meeting last night even though the fund balance report indicates there’s money in both the water and sewer line items, the town is required to maintain minimum cash balances due to existing bond obligations.
Town officials were unaware of that requirement but agreed rates need to be raised in order to remain fiscally responsible.
Walsh notes the proposed increases are still well below what other similar-size communities are charging for utilities.
He’s going to work with North Judson Town Attorney Justin Schramm on ordinances for the proposed increase in hopes of having them ready to introduce at the May 15 town council meeting.
A public hearing will be scheduled before any final action is taken.
