Wednesday, January 19, 2011

Village increases water rates

Lumby residents will be paying more for water.  On Monday, council gave three readings to the water rates bylaw, which will include a flat rate fee of $12 and then 64 cents per cubic metre.  “The average home will see their cost go from $240 to $310 annually depending on how much water they use,” said Mayor Kevin Acton.  The village has operated on a flat rate system, but a consumption-based rate has now been implemented because of the move towards water meters.  While he says the increase will hit some residents hard, Acton believes a rate hike is necessary.  “We completed the water treatment utility and we know what the cost is and what the lifespan of the system is,” he said.  “Part of it is covering depreciation and operations.”  Third reading has also been given to changes to the sanitary sewer rates bylaw.  There will be a flat rate of $12 for sewer and then a cost of 40 cents per cubic metre.  For the average residence, the annual sewer bill will go from $171 to $247 a year.  The rates bylaws still require final adoption from council.
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Don Quixote Note: By Contrast The average Greater Vernon Water Customer who consumes 350 M3 of water paid $480.58 in 2010 and will pay $607.25 under the low rate option presently on the table at GVSC.  The new low rate option base and consumption rates will be presented at the GVSC meeting at 10 AM this Morning at the NORD building in Coldstream. I predict that this customer's cost will actually increase past $607.25 as the new rates will be skewed more towards the base fee as it will increase from a base fee of $39 per quarter to in excess of $65 per quarter.


Water Rates: (From Lumby website)
Monthly:  $20.00, plus $2.00 for Water Meter Reserve total $22.00
Yearly $264.00

The proposed water rates in Lumby will pay a $144 annual base fee and 64 cents per cu meter. The average Greater Vernon Customer that consumed 350 M3 would pay $144 + (350 x .60= $210) - total of $354.00 if charged the new Lumby Rates. (This would be in effect a 35% increase over the previous flat rate fee charge of $264)

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