COLDWATER, MI (WTVB) – The Coldwater Board of Public Utilities Board of Directors approved a request on Tuesday night to increase overall wastewater rates by nine percent in order to help fund improvements at the Water Resource Recovery Facility.
CBPU Director Jeff Budd said the nearly 60-year-old facility is starting to show its age and is requiring significant capital improvements to maintain its operational efficiency, .
He also pointed out recent economic growth is starting to impact the volumetric capacity at the plant.
The nine percent rate increase is expected to generate $341,000 in revenue. It would go into effect August 1, 2019 if it’s approved by the Coldwater City Council, and would cost the average residential customer an additional four dollars a month. The impact on commercial and industrial users would depend on usage.
There would be no increase in water rates.
The proposed increase was included in the budget projections. Budd said the increase is less than the 12.5% increase projected in the last Cost of Service Study prepared by Utility Financial Solutions.
According to Budd, the most pressing improvements are needed on the digestors, with engineering estimates putting the improvement costs at several million dollars. In addition, Budd says the capacity issue at the facility will need to be addressed in the near future.
