City approves hike for water, sewer, and trash service
City of Newcastle customers will see an increase on their next bill after the Newcastle City Council approved rate increases for water, sewer and garbage on Nov. 18.
The council originally raised rates in July of last year but after backlash from customers who saw their bills increase by up to 200%, the council voted to backtrack the rates in December until a rate study was complete.
After the study, the city voted to adopt the suggested rates. The rates were adopted via resolution.
New rates
According to the resolution, the base payment for any sewer user will be $16.63 per month with a base payment of $3.88 per 1,000 gallons.
Sewer charges are based on the amount of water furnished by the city per month to each service outlet, according to the resolution.
For water, in-city customers will pay a base payment of $33.82. The resolution states there will be a charge of $4.79 per 1,000 gallons.
Customers outside of city limits will pay a base rate of $50.73. A rate of $7.19 per 1,000 gallons is listed.
For garbage, 95-gallon cans with one pickup per week per can will cost $32.19 per month. Any additional 95-gallon can will cost $20.35 per can.
Additional pickups for 95-gallon cans will cost $40 per additional collection.
Fees for 300-gallon capacity cans range from $76.10 per month for one pickup per week to $366.50 for five pickups. A customer needing eight cans with five pickups per week would pay $2,615.36.
Customers outside of city limits will pay $45.14 per 95-gallon can with one pick up per week. Any additional cans will cost $30.52.
Additional pickups for 95-gallon cans will cost $60 per collection.
For a 300-gallon capacity can, customers outside of city limits will pay $110.99 for one can with one pickup per week. One can with five pickups will cost $546.48 and eight cans with five pickups is scheduled to cost $3,919.43.
The rates — and how they are structured — are significantly different from both the old rates, and those approved in July, 2023. To compare those rates and proposals, please visit newslj.com/council-amends-rate-increases.
Why the increase is needed
“The rate increases are intended to allow for capital improvement projects,” Greg Stumpff, public work supervisor, said in an email. “We have several million dollars’ worth of projects in the city’s Capital Improvements Plan.”
According to Stumpff, the plan is projected out 10 years and includes necessary improvements in all three enterprise accounts.
“The city wants to continue to make improvements like the 7th Ave. reconstruction project. In 2025 we have two projects planned — the 2025 Improvements project designed to replace failing water and sewer lines and reconstruct a portion of 2 streets with an estimated cost of $2.1 million,” he said. “The other project is the Landfill #1 Remediation project with an estimated cost of $1 million for the city’s portion of this project.”
In 2026, the city has planned for four projects, including improvements to Tank No. 2, estimated to cost $2 million; the closure of Landfill No. 2, with an estimated cost of $1 million; a wastewater (sewer) and stormwater master plan, with an estimated cost of $100,000; and a new line on West Railroad Street with an estimated cost of $250,000.
Stumpff noted that the wastewater and stormwater master plan will inspect and plan improvements to the sewer collection and stormwater system and that the new line on W. Railroad Street will be a secondary supply line.
“We will revise the projects after 2026 to incorporate the recommendations in the water master plan,” he said.
Stumpff noted that the Capital Improvements Plan and needed equipment replacement were given to the contractor hired to complete the rate analysis. These projects were built into the new approved rates.