PAnews.com, Port Arthur, Texas

Local News

April 15, 2013

Water rates to go up in Port Neches

PORT NECHES — The base rate for water service in the city of Port Neches is set to rise by 75 cents around the beginning of May.

City Council approved an ordinance increasing the base rate for water serve at a recent meeting.

Andrè Wimer, city manager, said there has been discussion over the last few months regarding the water and sewer fund and the long term financial outlook to support the operation as necessary and to provide adequate water and wastewater service. Based on those discussions, council was agreeable to making the modifications.

“The fund is considered to be an enterprise fund meaning it should be self-supporting in terms of revenues covering expenditures,” Wimer said. “Fund revenues for the current fiscal year are anticipated to be $3.1125 million. It is the belief of the staff that this amount should ultimately increase by $250,000 to $300,000 per year which would allow for the funding of routine, large scale expenditures in addition to replenishing reserve balances.”

The initial base rate increase may not be enough to bring the fund where it need be and city staff are considering this as potentially a first step in the process.

“Ultimately council will have to look at multi-month implementation over 18 t 20 months,” he said. “There are likely to be other adjustments, depending on council. There will be future discussion as we move forward through the budget process and continue to evaluate the fiscal strength and stability of the water and sewer fund.”

The current base charge for water service in the city is $9.

E-mail: mmeaux@panews.com

Twitter: MaryMeauxPANews

 

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