The City of Rockdale got its first look at numbers Monday as it prepares to take on the gargantuan task of replacing virtually the entire water system to rid customers of their “red water” problem once and for all.
They’re grim.
A consultant at Monday’s city council meeting recommended the least expensive for rate payers of three possible scenarios to pay back an anticipated $48 million loan from the Texas Water Development Board.
Under that rate model, for a more-or-less typical customer (three-fourths inch meter connection) using 2,000 gallons or less of water, the monthly rate would climb from the current $25.88 to $34.94 next year and $65.81 by 2023.
There are additional charges based on usage above the minimum 2,000 gallons and increased diameter of water connections at the meter.
SEWER—Sewer rates, again minimum 2,000-gallon usage, would go from the current $15.71 to $16.50 next year and $21.96 by 2024. Those also increase by usage.
The report, by Matthew Garrett of New Gen Strategies and Solutions, was the first time the city council has gotten any numbers on rates, although it has known for some time massive hikes would be necessary to address the problems.
City Manager Chris Whittaker has termed Rock-dale’s water system “failing” and noted in the past four years—December, 2014, to December, 2,018—there have been approximately 1,400 water line breaks, 36 of them on main breaks and there are “14-20 open every day.”
Then there’s the infamous red water which has been the No. 1 problem/ complaint listed by Rock-dale residents for decades.
‘GLOOM AND DOOM’—Is there any bright spot in the rate study? Possibly.
Garrett referred to his report Monday as the “gloom and doom” forecast, a worst case scenario.
He said if economic conditions improve, with additional growth resulting in facilities being constructed and more water connections, numbers could change.
A 30-unit housing development in east Rockdale is working its way toward becoming a reality.
Garrett said the rate could be tweaked by the council in that event, referring to the process as “turning the dials.”
“DO NOTHING”—He presented two other scenarios which would also raise the anticipated revenues.
“They (other options) would see even higher bills for customers,” he said.
Garrett noted the option he was recommending “shifts the cost toward those who use more water.”
He also presented a “do nothing” option but said doing nothing “isn’t really and option,” and added even that approach will also result in a water rate increase for customers.
Whittaker pointed out water bills are going up more than $10 per month to correct a problem and bring the Rockdale water system back under Texas Commission on Environmental Quality (TCEQ) guidelines.
The city needs to add caustic to address a pH balance deficiency.
WHAT’S NEXT—One idea floated Monday was for the city to consider purchasing water from Southwest Milam Water Supply Corporation.
“That would be a great opportunity to give Southwest Milam our business,” Whittaker said. “It would remove a major headache from the city and give us a chance to concentrate on roads and other areas.”
He hopes that option can be presented to the council.
“We will set rates one year at a time, of course,” Whittaker said.
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