By Patrick Crowley
The Cincinnati Enquirer

TAYLOR MILL - The Northern Kentucky Water District has agreed to buy the city's water system for $15 million.

The sale, jointly announced Tuesday by district and city officials, must be approved by the Kentucky Public Service Commission. But officials said the sale should close by early next year.

Taylor Mill's 5,400 water customers could see their rates drop because the district has a lower rate structure than the city, but specifics on the rates were not announced.

"This sale benefits everyone involved," said Ron Lovan, water district president and CEO.

Following approval of the sale, customers will be notified about the change in ownership and how it affects Taylor Mill ratepayers.

Council member Sara Voelker said the sale will likely result in an average annual savings of $100 to $120 a year for each resident.

The city will also receive a financial boost from the $3 million it receives from the sale, which will be paid over 15 years, she said.

Just a few months ago, Taylor Mill, one of the last Northern Kentucky cities to own and operate a public utility, raised water rates by 59 percent.

"I voted against the rate increase and encouraged discussions between the city and the water district," Voelker said. "Those discussions have come to fruition. As water rates stand today, Taylor Mill residents are paying about 40 percent more for water than other residents of Kenton County."

E-mail pcrowley@enquirer.com