By Anton Riecher
Without appropriate water rate increases the city of Devine could find itself nearly half a million dollars short in covering expenses within the next five years, according to a utility rate analysis prepared by a non-profit consulting group.
The analysis prepared by Community Unlimited, a national organization that provides technical assistance at no cost to rural communities shows that very little growth in water sales is anticipated in the near future.
“Unless I missed something you don’t have too many new customers,” Community Unlimited regional coordinator Raul Gonzales reported to the Devine City Council on Dec. 10. “So that doesn’t help.”
The city council took action to help resolve the issue in November, approving a water rate increase ranging from 21.5 percent for low-end residential customers to 38.8 percent for high-end commercial users effective January 1.
That increase is only part one of a two-step plan that would see the lowest level water rate increase 18.14 percent by October 2025 as required to obtain $11.5 million in state financing to cover the mandated replacement of lead water lines serving local homes.
Mayor Butch Cook prefaced Gonzalez’ report with….
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