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Tue, Nov. 12

Chino Valley council to look at wastewater, water rate study

The Chino Valley Town Council will look at four scenarios Tuesday for the town's water and wastewater rates.

Economists.com put the four scenarios together for the town in its 2010 Water/Wastewater Rate Study.

The first three scenarios show the town buying out Mike Fann's interest in the town's wastewater treatment plant, while the fourth one doesn't. Currently, the town pays Fann $21 per wastewater account per month and $4,000 of each wastewater buy-in fee for constructing and operating the wastewater system.

Economists.com used some primary assumptions for all four scenarios. They include: personnel and operating costs increasing 3 percent to 5 percent a year; costs of chemicals, electricity, insurance, etc. to increase at higher rates; the rates for the next decade include no cost for significant capital improvements; and buy-in fees to cover annual operating costs for water will increase to $4,000, while wastewater fees will increase to $6,000.

Scenario 1 for residential water rates calls for the current minimum charge for a three-quarters-inch meter to increase this year from $4.84 to $7.84, and to $8 in 2011. The volume rates per 1,000 gallons stay the same. The residential wastewater rates would increase this year from $48.40 to $55.66, and $61.23 in 2011.

The residential monthly water and wastewater bill for 10,000 gallons would increase this year from $94.62 to $104.88, and to $111.43 in 2011.

This scenario includes a fully financed contingency fund.

Scenario 2 for residential water rates calls for the current minimum charge for a three-quarters-inch meter to increase this year from $4.84 to $7.84, and to $8 in 2011. The volume rates per 1,000 gallons stay the same. The residential wastewater rates would increase this year from $48.40 to $50.34, and $51.85 in 2011.

The residential monthly water and wastewater bill for 10,000 gallons would increase this year from $94.62 to $99.56, and to $102.05 in 2011.

This scenario includes a phased-in contingency fund.

Scenario 3 for residential water rates calls for the current minimum charge for a three-quarters-inch meter to remain at $4.84 through 2011. The volume rates per 1,000 gallons also stay the same. The residential wastewater rates stay at $48.40 through 2011.

The residential monthly water and wastewater bill for 10,000 gallons would stay at $94.62 through 2011.

This scenario includes no contingency fund.

Scenario 4 for residential water rates calls for the current minimum charge for a three-quarters-inch meter to remain the same through 2011 at $4.84. The volume rates per 1,000 gallons also stay the same. The residential wastewater rates increase from $48.40 to $51.35 this year, and stay the same in 2011.

The residential monthly water and wastewater bill for 10,000 gallons would increase from $94.62 to $97.57, and stay the same in 2011.

This scenario includes no Fann buyout and no contingency fund.

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