OV council looks at water rate increase - Tucson Local Media: Pima Pinal

OV council looks at water rate increase

Average increase $1.60 a month

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Posted: Tuesday, October 5, 2010 11:00 pm

The Oro Valley Town Council plans to discuss a proposal to increase water rates on Wednesday night.

The proposal from town water director Philip Saletta, on tap for discussion at the Oct. 6 meeting, asks the council to approve a 4.1 percent rate increase for residential customers. That increase is based on the water usage of the average Oro Valley household, about 8,000 gallons per month. Most residential customers would pay an additional $1.60 per month, according to a water utility analysis.

Base rates would remain the same under the proposal. The changes would impact the monthly groundwater preservation fees. Currently, residential customers pay 75 cents in groundwater preservation fees per 1,000 gallons of water used.

Also proposed is a $5 increase to the service establishment fee. The change would bring the fee to $35 to set up water service for residential customers.

The Oro Valley Water Utility operates as an enterprise fund, meaning it doesn't receive any money the town's general fund, the budget area that supports most governmental operations. Money collected from water customers makes up the bulk of the water utility budget.

The council has approved rate increases every year except for fiscal 2006 since the water utility was instituted in 1996.

OV water rates

FY 1997 14.1 percent increase

FY 1998 3.7 percent increase

FY 1999 8.5 percent increase

FY 2000 3.8 percent increase

FY 2001 4.5 percent increase

FY 2002 5.5 percent increase

FY 2003 6.5 percent increase

FY 2004 8.4 percent increase

FY 2005 3 percent increase

FY 2006 no increase

FY 2007 5.8 percent increase

FY 2008 10 percent increase

FY 2009 8.1 percent increase

FY 2010 5.6 percent increase

Source: Oro Valley Water Utility

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