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Forget Atlanta tax increase; water rates will break you first

June 19, 2008 at 2:36 pm by Scott Henry in News

Much wailing and gnashing of teeth has been heard in Atlanta over a potential property-tax hike. Fair enough; no one likes paying higher taxes. But relatively little public attention has been paid to the prospect of higher water rates, which will end up costing the average homeowner more than 10 times as much.

At around 1 p.m. today at a special-called meeting, the City Council approved a new water/sewer rate schedule for the next four years that will cause the average monthly household water bill to jump next month from about $85 to $105, a 27-percent increase.

This new rate includes a 15-percent increase to make up for lower revenue due to water conservation. Last year, this measure was introduced with the label “drought surcharge” and people went crazy: The city asked us to conserve water and now it’s punishing us for doing so!

Instead, the city simply rolled it into the new rates, but we’ll pay it just the same. Rates will continue to climb 12.5 percent for the following three years, until we’re eventually paying an average of $143 a month for water.

Council members had debated the water rate increases for weeks; some even hinted they would vote against them. But, in the end, the vote was 13-0; the only amendment calls for an audit of the $4 billion sewer program. Why did everyone finally get on board? Mainly, because they didn’t really have a choice.

The rate hike was necessary to abide by the federal consent decree that mandates the sewer improvements. If the council had voted down the new rates, Federal Judge Tom Thrash could have put the entire program in receivership.

At one point, Council member Kwanza Hall asked city finance chief Janice Davis what would happen if the rates weren’t raised.

Davis’ answer: “The city’s bonds would be downgraded to junk.”

Well, alrighty, then!


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