Sewer and Water Hikes in Albany

Nora Palmtag | Contributing Writer
The City of Albany needs to raise the price of water and sewer service in order to meet debt payments and have enough money to keep the systems running, according to the city staff. According to the Democrat Herald, the sewer rate was not raised last year as the council used $840,000 from the Pepsi settlement to subsidize the sewer fund.
The average water rate will be increased by $1.15, or 3 percent across the board, on Feb. “The increase is expected to yield an additional $110,000 in water revenue during the rest of this budget year, which ends June 30,” per Shepard in city council meeting this week.
The sewer rate increase of 9 percent will be required on July 1, but will not be considered for vote until May of this year.
“The sewer rate increase would raise residential sewer rates by between $3.50 and $4 per month for average usage, Shepard said” at the city council meeting Thur, Jan. 26.
“While personnel costs are being reduced, other costs are going up, and major expenses loom for fixing troubles in both water and sewer systems,” as outlined by Public Works Director Mark W. Shepard in memos to the council.
Shepard stated that one issue that will require the rate increase is the Riverfront Interceptor, a sewer main, which can’t handle heavy rains and will cost $10 million to stop the overflow of the Willamette River. Also, there are problems with 90 miles of asbestos cement water pipes that are nearly 70 years old which damage streets and private property.
“Albany borrowed more than $77 million to pay for expansion of the sewage treatment plant and build the Talking Water Gardens treatment ponds,” “obligating itself to annual payments of $5.6 million through 2032.” And “in the water department, payments on a $40.5 million water bond issued in 2003” amounts to a “$2.3 million a year through 2034,” as reported by the Democrat Herald.
Even realtors are aware of these increases. Lepman Properties states on its website that “Water and Sewer rates rising!” and “the City of Albany determines your sewer bill for the year based on your water usage during the winter months.” “To protect yourself from rising sewer bills you need to conserve your water usage.”
The good news is the increases are being staggered by six months and will give the citizens some time to budget for this crunch and hope the economy will be doing better or the job market improves.