BY LISA WARREN
The Mosheim Board of Mayor and Aldermen has approved on second and final reading a 17 percent increase to wastewater charges and fees for customers of the town's Lick Creek Valley Wastewater Sewer System.
The vote came Thursday evening as part of the board's regular monthly meeting.
This increase was part of the town's agreement with the Tennessee Utility Management Review Board and the Wastewater Financing Board, a state oversight agency which mandated the rate increase because of deficits within the wastewater system.
These boards oversee local utilities and do not allow them to operate with a deficit.
After two consecutive years in which a utility reports a negative change in net assets (in other words, a deficit), the system is defined as "financially distressed."
The state board has the authority to require local utilities to increase their rates in order to keep them from operating at a deficit.
In September 2010, the Mosheim board voted to endorse the town's increasing its rates by 20 percent in fiscal year 2009, and raising rates again by 15 percent in fiscal year 2011, by 17 percent in fiscal year 2012, and by another 17 percent in fiscal year 2013.
The 17 percent increase for this budget year will have the following impact on residential customer charges:
* base usage between 0 and 2,000 gallons will increase from $22.28 to $26.07;
* usage between 2,001 and 4,000 gallons will increase from $5.57 per 1,000 gallons to $6.52 per 1,000; and,
* usage over 4,000 gallons will increase from $5.01 per 1,000 gallons to $5.85 per 1,000.
Current commercial rates for profit-making enterprises or multi-family users will change to the following rates:
* base usage between 0 and 6,000 gallons will increase from $46.41 to $54.30; and,
* usage over 6,000 gallons will increase from $5.01 per 1,000 gallons to $5.85 per 1,000 gallons.
Current industrial rates will change to the following charges:
* base usage between 0 and 6,000 gallons will increase from $83.55 to $97.76;
* usage between 6,001 and 180,000 gallons will increase from $5.18 per 1,000 gallons to $6.06 per 1,000 gallons; and,
* usage over 180,000 gallons will increase from $3.80 per 1,000 gallons to $4.44 per 1,000 gallons.
In other matters at Thursday's meeting, the Mosheim board members agreed to have their annual November/December combined board meeting on Thursday, Dec. 6, at 7 p.m., at Mosheim Town Hall.
These monthly meetings are combined each year because of the Thanksgiving and Christmas holidays.