HomeMy WebLinkAboutHistorical Records - Miscellaneous (126)Council seeks
water schedule'
favorable to city
By MARK KIMBLE
Citizen Staff Writer
Water bills will be going higher in less than
a month, and City Council members have indi-
cated they will continue trying to find ways of
sticking the highest increase on people living
outside the city limits — those who have no
elective voice on the council.
So far, the council's efforts to do that have
been unsuccessful.
In a study session yesterday afternoon, the
council agreed to hold an April 21 evening pub-
lic hearing on a proposal to increase water
rates enough to raise 9.8 percent more money.
There are several different ways the rate
increase can be spread around. Yesterday the
council seemed to be looking for a way of
foisting a larger percentage of the increase
onto the shoulders of Tucson Water customers
living outside the city limits.
But the council move to lessen the burden
on their own constituents may fail because
any rate that imposes different charges on
city and county residents likely will be struck
down by the courts unless there is a clear
reason for the difference.
Under recommendations from the city's
Citizens' Water Advisory Committee, rates for
each class of customer would be increased
enough to cover all the costs created by those
customers.
The committee is recommending that the
council stop the current practice under which
residential customers are actually "subsi-
dized" by commercial and industrial water
users.
Because of this current difference, the com-
mittee has suggested an 11 percent hike for
residential customers; an 8.8 percent boost for
the city's one industrial customer, Pharma-
seal Laboratories; an 8.7 percent increase for
apartment houses, duplexes and other multi-
family connections; a 7.6 percent boost for
commercial establishments; and a 6.3 percent
hike for non -industrial customers charged at
the industrial rate, such as local school dis-
tricts.
That rate schedule, under which the highest
boost would fall on the largest number of
voters, didn't sit well with the council yester-
day.
They suggested several other alternatives,
including bringing back the lift charge, im-
posed and quickly removed four years ago, so
that customers living at higher altitudes would
be charged more.
That idea was discarded when it was
pointed out that the lift charge would be im-
posed on more city than non -city customers.
The council also suggested selling double-
barreled bonds, partially backed by water rev-
enues and also backed by the city's general
property tax. That would enable non -city resi-
dents to be charged higher rates because city
residents would already be subsidizing the
bonds through the power of the property tax.
That idea apparently also has been dis-
carded, since the rate difference would be
miniscule and almost certainly subject to a
court test by non -city residents.
One of the committee's major recommen-
dations — to boost the basic service charge
enough to cover all fixed costs of the water
utility — also was criticized by several council
members.
That service charge is currently $1.65 per
month for a homeowner, regardless of the
amount of water used. But it actually costs $1
more than that to read a customer's meter,
send him a bill and provide the routine mainte-
nance needed even if no water is used.
The committee has recommended an im-
mediate boost in the service charge to $2.65
per month for a residential customer, with rel-
atively small increases in the actual cost of
water used.
But that would mean the largest percent-
age increase would go to the person who uses
the least amount of water. For instance, a cus-
tomer using 3,740 gallons of water in the sum-
mer would see his basic bill increase from
$4.65 to $5.70 per month — a 22.6 percent in-
crease.
But a person using a huge amount of water
— 37,400 gallons per month — would see a bill
only 6.2 percent higher, increasing from $42.25
to $44.85.
However, those are two extremes. The av-
erage customer using 7,480 gallons during a
winter month would see his water bill increase
14.4 percent from $7.65 to $8.75 per month. The
summer bill for a customer using an average
amount of 12,716 gallons of water would be
increased 10.1 percent from $12.97 to $14.28 per
month .
None of the above water bills includes the 6
p 5rcent city and state sales taxes nor the
county sewer user charge.
Several council members like [he low ser-
vice charge, believing it helps poor people who
nave trouble paying their water bills. But city
officials have been unable to prove any direct
link between income and water usage.
After the public hearing to be held two
weeks from last night, the council hopes to be
able to get new rates into effect by May 1.