Water rate hike approved

The Common Council approved a proposed 11 percent water rate Wednesday, giving it the go-ahead to clear its final hurdle, approval from the Indiana Utility Regulatory Commission.\nPatrick Murphy, director of utilities for the city, answered questions from council members about the need for the increase, stating that the funds were needed for three projects, as well as increasing labor and material costs. He said that the change would increase the average water bill for $1.66. \n"Clearly pressing capital projects need funding, those three projects, as well as increases in goods and labor (necessitated the proposed increase)," Murphy said. "It's our policy that we not to exceed an 11 percent, and cut our costs as fine as we can." \nThe funds raised by the new rate would go toward the Lake Monroe Treatment Plant improvements, the repair, renovation and possible relocation of the Utility Department headquarters that was damaged in a fire, and the relocation of a water pipe because of an Indiana Department of Transportation expansion of State Road 45/46, Murphy said.\nThe Lake Monroe Treatment Plant renovation was about $2.45 million above projected costs, Murphy said, which was why funding needed to be secured for the project.\nCouncil member Andy Ruff asked Murphy about the oversight procedures for the utility department. \n"So state regulatory agencies scrutinize all changes and requests for funding?" he asked.\nMurphy said all of the improvements must go through scrutiny from Indiana agencies. "Certainly, you're right when we request funding and changes the state revolving loan fund inspects it all, we have to satisfy their requirements before they release any money to us," he said. \nThe major problem council members had with the increase came as the result of a Bloomington citizen who had a problem with the 2002 rate increase.\nThe concerned citizen showed up to the meeting, representing people and companies affected by a provision in the 2002 increase that put a surcharge on people who use water for major irrigation purposes. He said it affected about 250 people and was unfair because "probably around 99 percent of Bloomington" use water for irrigation purposes, while not having a second meter for it.\nMurphy said the 11 percent increase would involve for all users, including both residential and irrigation classes.\nCommon Council Member Dave Rollo passed on voting to pass the proposed hike because he wanted to further look into the problem. \n"It's a shame we can't separate the infrastructure for irrigation and drinking water," he said.\n-- Contact City & State Editor Mike Wilson at mhwilson@indiana.edu.