Water customers rates to increase (5/11/09)

Sturgeon Bay Utilities (SBU) has filed an application with the Public Service Commission of Wisconsin (PSCW) to increase water rates for its customers. Calculations by the PSCW indicate that a total increase in annual revenues of $463,654 over the current revenues is required by SBU.

If this increase is approved, the water bill for an average residential customer who uses 4,000 gallons of water per month will increase from $16.97 to $22.30, or 31%. This cost includes the public fire protection charge and results in an annual increase of almost $64.

According to General Manager Jim Stawicki, the Utilities’ last adjustment to water rates occurred in 1995. “We recognize that there’s never a good time for a rate increase, but after fourteen years, we just couldn’t hold out any longer. We’ve worked hard to streamline our operations and reduce costs, but over that period of time, the inflationary effects on chemicals, electricity, and other operating costs become overwhelming.”

SBU’s calculations indicate that the average rate of inflation since 1995 has been 3.15% per year. The proposed increase would have represented an average annual increase of 1.93%. “Even assuming a 31% increase, SBU’s water rates are generally average or below average when compared to surrounding counties in northeastern Wisconsin. We try to provide good value to our customers, but we can’t fall behind on maintenance and improvements to our system, or we risk public health and safety,” said Stawicki.

A telephonic public hearing on the application has been scheduled for Wednesday, May 20, 2009, at 9:00 a.m. in the Sturgeon Bay Utilities Conference Room at 230 East Vine Street, Sturgeon Bay, Wisconsin. Scheduling questions regarding this hearing may be directed to the PSCW at (608) 266-3766.