The Bradford City Water Authority announced it will raise water rates in 2019.
The rate increase is due to the proposed installation of an additional transmissions main to prevent a water crisis like the one authority customers experienced in 2015.
Rates will increase from $2.70 to $3.15 per 1,000 gallons, and fixed meter fees will increase an average of 5.7 percent or from $18 to 19 per month, Executive Director Steve Disney announced Wednesday when he presented the 2019 budget.
The estimated cost to install a new 20-inch transmission main and replace the current 24-inch transmission main is at least $16 million, Disney explained.
He anticipates that to fund the projects, rates will have to increase about $1.30 per 1,000. The authority plans to raise rates incrementally over the next three years, starting with a 45 cent per 1,000 gallon increase on Jan. 1. This will affect residential, commercial and industrial customers.
The rate has been $2.70 since 2016, Disney noted.
As far as the rise in fixed meter fees, he said the fees have changed to offset rising costs in meters and materials.
“The new rates still allow the Bradford City Water Authority to have the ninth lowest water rate in Western Pennsylvania,” Disney said, explaining the figure comes from a recent water rate comparison of 79 systems. “As far as surrounding communities the Water Authority per 1,000 gallon rate of $3.15 compared to $5.70 in Smethport, $6.85 in Mount Jewett, $6.88 in Johnsonburg, $8.00 in Ridgway and $12.22 in both Kane and Warren.”
In the Bradford system, the average residential water consumption is about 4,000 gallons per month, said Disney.
“For 2019, based on those consumption rates, residential customers can expect increases of $1.80 per month or $21.60 per year,” he said. “Fixed meter fee increases will add an additional $1.00 per month or $12.00 per year.”
A surcharge for customers in high elevations that require a second pumping process will also increase Jan. 1, from 40 cents per 1,000 gallons to 55 cents per 1,000 gallons. This is to cover the cost of the pumping and chlorinating process, said Disney.
“This surcharge has remained unchanged since 2008 despite increasing costs,” he noted.
Disney commented on the revenue and expenses in the 2019 budget, too.
“The proposed budget also fulfills the required debt service coverage and a $244,216 operating surplus available for the bond redemption and capital improvement fund,” he said. “The budget includes projected revenues of $4,130,117 and operating expenses of $3,162,920.”
The authority unanimously approved the 2019 budget that was presented.
Also at the meeting, the authority approved a resolution to request a percentage reimbursement from the Pennsylvania Department of Transportation for a water relocation at the site of an upcoming bridge replacement. The bridge traverses Toad Hollow Creek on South Avenue, Bradford Township.
Disney reported that watershed gates were able to be kept open during the entire hunting season due to favorable weather conditions that allowed the roads to stay firm. Hunters were allowed to use authority-owned property.
Regarding a bid opening for semi-annual water treatment plant chemicals, Disney reported that JCI Jones Chemicals Co. submitted the lowest bids, $66.67 per 100 pounds of liquid chlorine and $17.50 per 100 pounds for caustic soda. The board approved the bids for the next six-month period.
In 2019, authority board meetings will be held at noon the fourth Wednesday of the month and, as needed, at noon the second Wednesday of the month. The board meets in the Kubiak Building, 28 Kennedy St.
