By Megan Kelley
Staff Writer
LAKE ORION — After three years of no rate increases, village residents are getting a hike in their water and sewer rates after the Lake Orion Village Council voted 4-2 in favor of the presented increase.
Council President Jerry Narsh along with Councilmembers Ken Van Portfliet, Carl Cyrowski and Stan Ford voted in the affirmative with Councilmembers Micheal Lamb and Nancy Moshier both voting against the motion. Council President Pro-Tem Teresa Rutt was absent from the meeting.
According to village documents, metered usage charges for sewage will increase about 39.44 percent with the quarterly base charge on sewage increasing about 22.81 percent. Water fees are increasing about three percent, water usage charges per unit are increasing about seven percent and quarterly ready-to-serve water charges are increasing about 65.14 percent.
The rate increase is expected to be reflected on the next quarterly bill that residents receive.
“The proposed rates schedule reflects the budget that council adopted on May 22 for the water and sewer fund. The rates also reflect our anticipated $1.5 million Clean Water State Revolving Fund Loan that we’re going to have to take out as part of the $7.3 million in sanitary sewer pump station improvements,” said village Manager Darwin McClary. “So, these rates anticipate making the first year’s payment sometime during the upcoming fiscal year. The good news, while the rates are going to be increasing significantly if the council adopts these rates, we do anticipate receiving $5.826 million in grant funding to offset far and away the majority of the cost of the sanitary sewer pump station project. So, the required rates would have been significantly higher had it not been for the fact that we are anticipating receiving that large grant.”
At the council’s previous meeting, Lamb raised concerns about the increase stating that he felt the increase was not enough to take care of future improvement projects.
“Sitting at these meetings, with the rate increase, the DPW director and the village manager showed me the cost associated with the water and sewer. The two big factors are three to four years of no rate increases. We all know that inflation increases at three percent a year at minimum and this year, I believe, it was pegged at five (percent). So, a 14 percent increase this year just by mis-administration by previous village managers,” Lamb said. “The second big factor that offends me from the previous 20-something years of administration is the $7 million pump station repair that got dumped on me during my term on council because no provisions were made by any previous administration to save any money.”
Lamb warned residents that he believes this will not be the last rate increase when additional sewer and water projects surface.
At a previous meeting, Van Portfliet had noted that he did not support an additional increase on top of the already proposed rate increase, stating that he did not want to add an additional burden onto residents.
Village council packets are available online at www.lakeorion.org under “Government” tab.
The council held a work session meeting on June 1 to review, discuss and formulate the proposed fiscal year 2023-24 water and sewer rates.