BY JANET C. WETZEL
The Cincinnati Enquirer
LOVELAND -- As the number of Loveland Waterworks customers continues to grow, so does the need for system upgrades -- and those come with a price tag.
Waterworks customers will likely be tapped soon to help pay for about $2.5 million in planned upgrades to the system, but the rate increase won't be a significant drain on most residents, officials said.
For the estimated 65 percent of customers who use 6,000 gallons of water or less each month, or 12,000 gallons per two-month billing period, the increase will be about $2.70 per bill, said Bill Taphorn, city finance director. That's just over $16 annually, and it will be phased in over two years, he said.
Even with the increase, the city's rates will still be 40 percent below average, according to a 1998 survey of water rates in 68 Ohio communities done by the city of Englewood Planning Department, Mr. Taphorn said.
Council is expected to have a second reading and vote on the proposed increase when it meets at 8 p.m. Tuesday, City Manager Mark Fitzgerald said.
The increase would take effect in July or August.
"Our commitment is to meet the water needs of the community," Mr. Fitzgerald said. "And undertaking the capital improvement program approved earlier by council helps assure that is done. This (increase) is the vehicle to assure that we have adequate rates to pay for it and to continue to maintain the system."
Mr. Fitzgerald said he has heard of no complaints from customers, "no feedback at all," but that could change when customers receive the city's informational pamphlet. It should be in their mailboxes soon, he said.
Mr. Taphorn said he expects few complaints when customers realize the increase "in terms of dollars and cents is negligible."
Water customers have increased by 51 percent in the past decade, and the growth requires continued upgrades, Mr. Taphorn said. Three major water projects are planned -- two 1-million-gallon storage tanks and a new main water line. When they are finished, likely by late 1999, the city will have spent about $7.2 million in waterworks improvements since 1990, Mr. Taphorn said.
The city has increased rates an average of 3 percent annually for several years to cover costs, Mr. Taphorn said. "Our philosophy is that customers prefer smaller increases more frequently, rather than large increases all at once," he said.
The waterworks serves 5,200 residential and business customers in the city and three neighboring townships -- Symmes, Miami and Hamilton. Of those, 15 percent are non-residents who pay a 33 percent surcharge, Mr. Taphorn said.
With the latest proposed increase, the current minimum rate for residents of $12.90 for 8,000 gallons used bi-monthly will go to $14; and the $1.35 charge for each extra 1,000 gallons used will jump to $1.75 -- or an increase from $18.30 to $21 for a two-month bill for 12,000 gallons, he said.
The city works hard to maintain the system and keep costs down as much as possible, Mr. Taphorn said.
