New Sarepta water rate set to decrease next month
At its regular council meeting yesterday, Leduc County council voted unanimously in favour of decreasing the water rate in New Sarepta.
Starting Aug. 1, 2016, the water utility rate will decrease by $0.41 per cubic metre from $5.06 per cubic metre to $4.65 per cubic metre.
“Council welcomes feedback from citizens, and received a great deal of feedback from New Sarepta residents regarding the utility rates in the hamlet,” says Mayor John Whaley. “We are pleased to help alleviate some of the financial pressures facing the community, while balancing the need to deliver high-quality services to all citizens in a financially sustainable manner.”
Council approved the allocation of $105,000 from reserves set aside for New Sarepta to pay off roughly $88,000 of internal borrowing debt for the New Sarepta utility system, a debt which was being repaid by New Sarepta utility customers at a rate of $0.41 per cubic metre.
The remaining reserve funds were used to offset the nearly $16,700 deficit incurred in 2015 for the sewer-lagoons utility system, as well as contribute $300 to the New Sarepta water rate stabilization reserve fund.
The roughly $88,000 of internal borrowing debt stems from the 2014 decision to move the New Sarepta utility system to its own user-funded, full operational cost-recovery model, which means that the revenue generated from the usage of the system funds the operation and maintenance of the system. The roughly $16,700 deficit resulted from emergency sewer repairs.
The hamlet sewer rate will remain unchanged at $39 per month.