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Council approves higher water/sewer rates as part of new budget

Submitted by on May 23, 2019 – 12:50 amNo Comment

It’s now official – water and sewer rates are going up for City of Alpena residents this summer.

The rate increases were approved this week, when the municipal council formally adopted a new general fund budget for the fiscal year starting July 1.

Water rates are going up 1.82 percent and sewer rates 4.09 percent for a combined increase of 2.96 percent. In addition, the billing charge is going up 2.25 percent. The increases go into effect on July 1.

The rate hike is the lowest in the past four years. Rates went up 8.29 percent in 2018, 4.47 percent in 2017 and 5.34 percent in 2016.

Meanwhile, the approved new general fund budget included only one small change since it was unveiled earlier this month and that change has no impact on the bottom line.

The budget includes revenues of approximately $10.33 million and expenses of about $10.62 million for a deficit of $280,542. Despite the shortfall, the general fund balance would stand at more than $2.2 million at the end of 2019-20, or about 20.9 percent of expenses.