After hearing pleas from the several local residents and Perdue’s director of operations, David Wittington, the Washington City Council took the politically unpopular, but financially necessary step and voted for an across the board rate hikes for all three city utilities. The new rates will mean the average family will see about a $23 bump in its utility bills.
Mayor Wellman said the vote was not an easy decision for the Council members.
Speaking for Perdue, Wittington said the new rates would cost the company an extra $750,000 per year. Perdue uses a large amount of water and generates 43% of the City’s sewage. The Mayor said the effect on businesses was given heavy consideration.
Even with the raise, the City of Washington will have the second lowest electric bills in southwest Indiana. Only Jasper will have lower electric rates and that City is currently in the process of raising utility rates, too.
When asked about the impact of the proposed US 50 project on the utility rates, John Sievers, the City’s rate consultant, said the project and replacing the 80 year old sewer and water lines under the Highway accounts for around 4% of the hikes. The rest is needed to keep the utilities financially stable after years of rates not keeping up with the cost of doing business.
The Council voted 5-2 to raise the sewer rates with Councilmen Jerry Sidebottom and Doug Compton opposed. The water and electric hikes passed 6-1, with Compton opposed.
In other business, the Council voted to raise the wholesale water rate it charges Daviess County Rural Water by 5.89% the amount allowed by recent court decisions. The Council also passed ordinances allowing the Animal Shelter to use microchips and accepting new streets in the I-69 area into the city.