Bainbridge residents can expect water rate increase this year

Monday, January 17, 2022

BAINBRIDGE — The Bainbridge Town Council will be increasing water rates for customers at some point this year for the first time since 2005.

The ordinance was supposed to be implemented at the beginning of 2022, but due to time constraints and other projects, the increase has not yet been advertised and opened up to the public for comment, an important step before the ordinance can officially take effect.

A rate study was conducted, and outside consultants recommended a 65-percent increase for metered customers. However, the Bainbridge Council and the Utility Board have recognized that this increase would be burdensome if implemented all at once.

Instead, rates will rise 20 percent each year over the next three years to keep customers from feeling the full weight of the 60 percent increase, while simultaneously allowing the town to shore up its water budget, albeit incrementally.

Currently, water rates are billed at $19.59 for the first 2,500 gallons, $12.76 for the second 2,500 gallons, and so on, in a tiered usage-rate system.

The more water customers buy, the cheaper it is.

Unfortunately, that has become something of a problem for the town of Bainbridge, as its bulk water for sale to customers outside of the incorporated town is billed at the same rate as customers living inside town limits.

As of now, contractors and people living outside of the municipality are able to purchase large amounts of water at the same rate paid by customers whose water is piped directly into their homes and businesses inside Bainbridge.

The Utility Board has recommended a separate water rate for buyers living outside of Bainbridge wanting to purchase bulk gallons, as this will provide the town with a small revenue stream for its utility. This, however, will still need a resolution and subsequent ordinance put together before moving forward.

In the meantime, metered water customers can expect their rates to increase by 20 percent each year over the next three years after the ordinance takes effect, an increase which both Council Board President Jeff Kiger and the Utility Superintendent Eric Gibson have said won’t be significant.

The rates break down as follows:

• $7.84 per 1,000 gallons of water will increase by approximately $1.50 to $9.34.

• The minimum usage bill is $19.59 for the first 2,500 gallons of water to increase to $23.51 for the same amount, an increase of $3.92.

• The second 20-percent increase will be approximately $4.70 from $23.51 to $28.21 for the first 2,500 gallons of water.

• The third 20-percent increase will be approximately $5.64 from $28.21 to $33.85 for the first 2,500 gallons of water.

The town council will advertise this ordinance, and will open the floor for public questions and comments at a future date.

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  • Do the residents realize that with three 20% increases, the compound rate of the increase over the three years will actually be 72.8%, not 60%? I believe I would rather swallow a 65% increase all at once as recommended by the analyst. Using that calculation, it would be $32.32 for the first 2,500 gallons.

    $33.85 - $19.59 = $14.26 increase / $19.59 = 72.79% vs.

    $19.59 x 165% = $32.32 a savings of $1.53 per month

    -- Posted by gustave&zelma on Wed, Jan 19, 2022, at 2:51 PM
  • Probably not. Economic literacy is pretty sketchy. Like the people who tell me it is better to have a mortgage than pay it off!

    But, hey, we will never use math when we get older and we have too many other things to teach that there is no time for simple economics

    -- Posted by beg on Wed, Jan 19, 2022, at 3:09 PM
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