Beginning in January, water and sewer users in Hermiston will see their rates go up – the first of four rate increases over the next 20 and a half months.
The revenue from the rate increases – 4 percent in January 2014, July 2014, January 2015 and July 2015 – will pay for construction and operation of the city’s new $27.2 million Recycled Water Treatment Plant.
The Hermiston City Council was scheduled to vote on a resolution Monday night to increase both water and sewer rates by 8 percent in July 2014 and another 8 percent in July 2015, but City Councilor John Kirwan suggested the city raise the rates incrementally in order to avoid hitting users with larger rate increases.
“We have an obligation to make this as easy on people as possible,” Kirwan said.
The council will take up the recommendation at its next meeting.
The last time water and sewer rates were increased was July 2010. Whether the council votes to increase the rates 4 percent four times between January 2014 and July 2015, or twice by 8 percent by July 2015, the result will be the same – water and sewer users will see a combined 16-percent increase by July 2015.
Hermiston Mayor Dave Drotzmann said Monday that users might prefer getting hit with higher rates twice rather than smaller increases four different times.
“If we increase it by 4 percent every six months, people in the community are going to want to know why their rates keep going up every six months,” Drotzmann said. “I still think we have a very low cost of living here compared to other communities.”
An analysis of water and sewer rates indicates that, even with the proposed rate increases, Hermiston users pay less per month than other Eastern Oregon cities. According to the report prepared by the city, Hermiston’s average combined water-sewer rate as of October 2012 was $56.38 compared to $58.69 for Baker City, $75.03 for La Grande, $78.24 for Ontario, $81.11 for Pendleton and $104.23 for The Dalles.
Once the rate increases begin to kick in, the average combined water-sewer rates for Hermiston users will be $60.86 by July 2014 and $65.78 by July 2015.
Hermiston resident and East Side Market owner Joe Thompson told the council on Monday that he felt the rate increases would be a hardship on low-income residents.
“I applaud the city for keeping the water and sewer plant up to date,” he said. “But I would respectfully ask the council to look at alternatives without raising rates. For a lot of people, money they receive with Social Security checks doesn’t go very far these days.”
The city does offer relief for low-income residents. Applications for relief are available at the Hermiston City Hall. Those eligible can receive up to a 50-percent reduction in their rates.
Kirwan said he would prefer to see the rate increases re-structured so users see four smaller increases rather than two larger increases. At its next meeting, the council will vote on raising the rates by 4 percent four times rather than 8 percent two times.
Also on Monday, the council voted to initiate annexation of 6,600 square feet of land located at 1750 N.E. North St. The owner of the property requested the annexation because it is currently being serviced by a failed septic system that is presenting a health hazard. The annexation will allow the city to make an emergency sewer connection.
The council also voted Monday to close portions of downtown streets on Oct. 31 to allow children and their parents to take part in Treats on Main and Beyond. From 4 to 7 p.m., the city is sponsoring a Halloween event that includes a haunted house at the Hermiston Conference Center. Participating businesses will also be handing out candy and treats. Main Street will be closed to traffic from Highway 395 to Fourth Street. Second and Third Streets between Gladys and Hurlburt Avenues will also be closed from 1 to 5 p.m. that day.
