Village to increase sewer rates

HOLLY, Michigan – A poor economy, vacant homes and fewer users on the system are to blame for a rate increase to the village’s sewer service.  Effective July 1, sewer rates will increase from $6.56 per 1000 gallons to $8.70 per 1000 gallons with a $10 service fee per household. Water rates will remain at $6.60 per 1000 gallons of water.

Village President Pete Clemens said it was during a budget work session held prior to Tuesday’s council meeting that council members came up with an “eleventh hour agreement,” to raise the rate.

“I can honestly say I don’t think anyone on this council was happy about the increase,” Clemens said. “Unfortunately, we’re up against the wall right now, and we have to pay our debt retirement.”

For an average family using 3000 gallons per month, Clemens said the increase would amount to approximately $16.42 per month. “It seems like a large amount of money, but unfortunately with over 100 homes vacant right now and taking in no money, the usage of water is down considerably.”

Councilwoman Sandra Kleven said the $10 service fee will be collected on the vacant homes, bringing more revenue in to help pay toward debt retirement.

In a vote of 6-0, council passed resolution 2009-37 increasing village sewer rates. Councilman Tom McKenney was absent from the meeting.

Village Manager Marsha Powers said despite the sewer rate increase, residents are still playing less than they did a year ago when it cost $2.58 per 1000 gallons on top of a $59 Residential Equivalent Unit fixed cost each quarter.

“The rate increase comes from a poor economy and the fact that we have fewer users,” Powers said after the meeting. “We also have a lot of commercial buildings in the village that are closed, so we can’t blame it all on residential,” she added. “It isn’t pleasant to have to raise the sewer rate, but we still have bills to pay.”