The Lacey Municipal Utilities Authority (LMUA) approved raising water consumption rates by 4 percent at its annual rate hike hearing.
“It was necessary because the number of vacant homes and a reduction of water sales has decreased revenue,” Executive Director Edward Woolf said.
The adjustment to current water service charges is a $5.36 increase for the year. Depending on the meter size, the majority of Lacey ratepayers will pay $34.76 to $48.65 per quarter in 2013.
The rate increase is necessary to maintain the LMUA’s system and to meet its bond requirements, Woolf said.
In addition to the vacant homes, there were 1,464 delinquent accounts, amounting to $1.162 million, a number that has increased over time, Woolf said. That is 10 percent of the LMUA’s budgeted revenue.
There will be no increase in sewer rates for 2013 as the LMUA has been able to reduce the amount of wastewater to the Ocean County Utilities Authority.
Over the last five years, the LMUA embarked on an aggressive campaign to repair leaks, limiting the amount of tidal and rain water entering the system, he said.
The LMUA provides a collection of wastewater, which is then discharged to the OCUA and treated at the Central Plant in Bayville, Richard Warren, Executive Director of the OCUA previously said. The OCUA bills customers, such as the LMUA, based on the actual number of gallons discharged to the system.
The OCUA also didn’t increase its rates this year, he said.
With a $4.7 million sewer operation budget, $2.9 million goes to the OCUA, Woolf said.
In the future, the LMUA hopes to use two new wells as a form of rate stabilization.
“The new wells are installed and ready to go,” Woolf said.
The LMUA is currently expanding its water treatment plant, which should be completed in August, he said.
Although contracts are not in the works yet, the LMUA is hoping to bring water to other towns with the wells’ excess capacity, he said. But its first priority is ensuring safe water for Lacey’s future.
Proposed Adjustments to Current Water Service Charges
Quarterly Service Charge Meter Size (inches)
2012 Rate
2013 Rate
5/8
$33.42
$34.76
3/4
$36.75
$38.22
1
$46.78
$48.65
1 1/2
$60.15
$62.56
2
$96.86
$100.73
3
$367.46
$382.16
4
$471.03
$489.87
6
$701.53
$729.59
8
$968.79
$1,007.54
2012 Rate
2013 Rate
Metered Water Consumption Charge
$5.17 per 1,000 gallons
$5.38 per 1,000 gallons
When a private company losses business and hence revenue becasue of a poor economy, they lay people off. They do this because less customers means that less personnell is required to service those cusomters. But not with government; when revenue goes down, they just raise our rates or tax us more. Typical I guess!
You know the OCUA with 13 republicon commissioners each getting 5 k a yr Free Medical Benefits and pension credits
Humm....... so the reason we have to pay more for water is because they aren't selling as much due to all the vacant homes? It doesn't take a rocket scientist to figure out that less consumers = less need for your product, which should LOWER prices. Vacant homes are not using water, so why should everyone else in the town get penalized for that? GREED that's why. I thought that Republicans were for shrinking government and lowering taxes?. Keep feeding the machine so all those in power can reward their own at the expense of screwing the tax payers. I'm not sure how much more of this NJ dry screwing I can take...........
It is likely you will see this more often the regulation was changed this year that prevented it. The 2.3% is what the card processor takes so the town is simply passing the charge along. Changes to Surcharging Fees in the United States Beginning January 27, 2013, merchants in the United States and U.S. Territories will be permitted to impose a surcharge on consumers when they use a credit card. http://usa.visa.com/personal/using_visa/checkout_fees/index.html?ep=v_sym_checkoutfees
You all know about the OCUA 13 Commissioners 5K a yr FREE Medical Benefits and pension credits
The rates for water increased because of revenues shortfalls,but the sewer rates remained the same even thoughit cost the "Authority" LESS. If increases are passed along to the ratepayer why aren't savings as well. Here's why...: {Authority.WOOLF EDWARD Ocean LACEY MUNICIPAL UTIL AUTHORITY $101,183 1 $101,183 Public Employees Retirement System } And, that reflects 2011 data. Has there been a raise? Health benefits go up? O T ? Any steps? Does the authority and the township recall the savings in the Recreation Department when the Director changed? Take a que,folks