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Neillsville Water Rate Increase Clears First Hurdle

Thursday, August 15th, 2013 -- 8:18 AM

-Neillsville?s water utility rate increase has cleared its first hurdle.

The city council members received an update on the rate increase they approved during Tuesday night?s meeting.

During a council meeting at the end of June, the council members chose a ?middle of the road? water rate increase of 15%. At the time, it was calculated that this would give the city an operating income of $49,312 and a rate of return at 2.50%.

However, the council found out Tuesday evening that their choice would now equal out to a rate of return at 3.25%. That?s good, but the state could still deny Neillsville?s choice and force them to take a 25% increase which would give the city a rate of return at 5.5%, which is considered the standard.

It was also discussed at the meeting, that under Wisconsin ACT 25, information on people?s water bill is no longer a matter of public record and the city must now switch from a postcard billing system to an envelope billing system. There?s no word on what the cost will be for that change.

Feel free to contact us with questions and/or comments.