The rate of utilities is set to increase by 2% in the new year, but the city will have to wait at least a month before implementing the increase.
The city announced the utility rate increase will not take effect until February 1st, 2018, instead of the original January 1st date set for the increase.
Barry Lacey, Executive Director of Financial and Corporate Services, says the reason for the increase being delayed is a necessary bylaw amendment made at City Council.
“City Council approved the 2018 utility budget with the 2% increase, that 25 rate increase will now take effect February 1st of 2018, instead of January 1st following necessary bylaw amendments that are required to be brought forward for City Council approval on January 29th.”
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Lacey says the water utility is at a cost-recovery basis.
“The water utility is what we refer to as a ‘user-pay,’ and it operates in a full-cost recovery basis,” Lacey says. “Meaning that utility rates and fees that users pay cover the operating, maintenance and capital costs of running the water utility, and the rate increase is required to ensure a full recovery of those costs.”
On average, home owners will pay $2.70 more with the 2% increase.