Marion likely to increase most utility rates
Staff writer
Before the end of the year Marion residents may experience sticker shock when looking at monthly utility bills.
In an attempt to make trash, electric, and water rates sustainable, the city will consider increasing them. Amounts have not been determined.
Increasing trash rates would be the first to increase, city administrator Brian Wells said.
A trash rate study will be followed by an electrical rate review with a water rate study after summer.
“We have not had a rate increase in five to six years,” Wells said, although some surcharges have been imposed from time to time for special situations. The cost is not cheap, he said.
“Very little is going down,” he said, adding that even trash bags have increased in price.
Water rate increases are a little more complex because of a $1.03 million loan from the Kansas Water Office for water improvements. It must be paid back by 2035.
Wells conceded that someone, likely taxpayers, would have to pay the loan.
The city needs to determine how water improvements are doing before talking about the increases He anticipates this will be done in the second half of the year
Before the water rate study, the city will look into increasing electrical rates. Wells said.
Marion receives its electricity from the Kansas Power Pool, as does Hillsboro.
While Hillsboro announced at last week’s council meeting, that it would not increase utility rates, Marion probably will, Wells said, because the city contends it is losing money 0n providing electric service despite the fact that it often transfers money out of its utility fund into its general fund or other funds.
“We need to get it to the point to break even,” Wells said. He added the current rates for utilities are not sustainable.
“I am not interested in making a lot of money.”
Wells said he didn’t know when rate increases, if approved by council, could go into effect.
“We will do a public meeting,” Wells said.
He said the city wants feedback before any rates are voted on.