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Reprinted with permission from
The Courier=Times Online
Much needed work to the City of Roxboro's aging water and sewer system will require another increase in city utility fees in the near future.
During a previous budget work session, Roxboro City Council approved a 3.0 percent rate increase for for water and sewer service users in fiscal 2006.
Monday night, during a third work session, council gave the nod for an additional 3.1 percent increase in order to help fund repairs of the city's infrastructure. Inflow and infiltration (I&I) problems have plagued the system for some time, causing repeated sewage spills during periods of heavy rainfall. That means rates likely will advance 6.1 percent as of July 1.
Interim City Manager Tommy Warren presented council with two solutions for the city's I&I problems. Warren had been instructed by council at the second budget work session last week to develop plans targeting I&I repairs,which had not been funded in the intial budget proposal.
One option, which was recommended in the city's capital improvement plan called for work totaling more than $1.4 million. That plan would have meant either a water and sewer rate increase of 4.0 to 5.5 percent annually, depending on the length of financing.
The plan chosen by council will remedy some of the problems for a total of $850,000, which the city proposes to borrow. The loan will be paid back in 10 years and will require a 3.1 water and sewer increase annually for users.
Warren said the average bill for users within the city limits will rise $1.92 per month and the average user outside the city limits will see a $3.84 increase in monthly payments.
Warren also added that if a large water customer relocated to Roxboro or if water sales escalated from their current level, the annual rate increase during the 10-year life of the loan may not have to stay at 3.1 percent.
Most of the improvements would be done via slip lining, which means lining the pipes that are already in place, according to Warren.
"That is the most economical route," Warren said. "Three lines will be rehabbed in place and another will be replaced with new pipe."
Lines that will be addressed include those on Ivey Street, Tanyard Branch, Reams Avenue and a portion of Foushee Street.
Warren noted, however, that the proposed work "does not stop our I&I problem."
"It will be with us forever," Warren said. "It's an ongoing problem."
Councilman Sam Spencer said he believed the I&I improvements needed to continue.
"[The state] has been on our back about our infrastructure condition," Spencer said. "If we don't do something along those lines we're going to find ourselves under a moratorium,” he said, referring to a threatened state imposed moratorium that would restrict further development within the city.
"You won't grow if you're under a moratorium," Spencer added. "I believe we need to look at this seriously when we're thinking in terms of growth."
Mayor Steve Joyner said he was not opposed to doing the I&I work, however, he said he thought it would be best if council waited until a strategic plan was completed and implemented before approving the repairs.
"I can appreciate that this work needs to be done," Joyner said. "Maybe it would be best to address it later this year."
Joyner added that it could be weighed with all other things during a strategic planning session.
"We've talked about a strategic plan for two years now," Spencer responded. "And, we haven't done it yet."
Joyner told council that he thought implementing the additional water and sewer service fees would raise a question of credibility among citizens, pointing out that water and sewer users were just assessed rate increases of six percent (water) and 11 percent (sewer) in January and that three percent had already been approved for this year.
Finance Director Jimmy Overton said part of the reason for the recent increases in water and sewer service were because no rate increases were implemented between 1990 and 1998.
"Our rates are still below the state average," Overton said. "At 35 cents, our rates are still cheaper than many other cities."
Joyner also added that he wondered what the public perception would be of the rate increase, along with the fact that council had recently declined to approve his proposal that city employees pay a portion of health coverage fees for their dependents.
During council's last budget work session, Joyner had proposed that city employees pay for 10 percent of health coverage for their dependents. Currently, the city pays for health insurance coverage for both city employees and their dependents.
When Joyner alluded to that issue again on Monday, Councilwoman Merilyn Newell spoke out saying that issue had been discussed and settled at the previous meeting. She told Joyner that the city pays for the employees to go to school for training and that the benefit package was a key reason the employees stayed in Roxboro.
"They put their lives on the line so that we can be safe," Newell said. "We've already established that paying that health insurance was one of the best things to keep them here."
Newell added that the city did not provide a 401k for employees and that dental insurance was the responsibility of the employees as well.
"That [health insurance package] is the most important benefit they see," Newell said.
Newell later told Joyner that the I&I problem and the health insurance package for employees "are separate discussions."
"You've got to pay your people," Newell said. "They are an integral part, they're the most important part."
Joyner then told Newell that he didn't mean to "harp" on the subject.
"Yes you do," Newell responded.
"You spent an hour and a half on it the other night [during the second budget work session]," Spencer added.
Newell said she thought the I&I situation merited the additional fees to be paid by water customers.
"This is pretty big," Newell said. "I don't think it gets much bigger. This is a big deal. This is not a reaction. It is a critical need.
"I think users of the service, which I am one of, know they will have to help pay for it," Newell added. "I would support the rate increase for that purpose.
"The publicity is not nice," Newell continued. "People aren’t going to like it, but when you lose big water customers you have to raise the rates on smaller customers.
"This is a problem of the past that we've got to pay for now," Newell added. "I think we need to deal with it now."
Councilman James Allen said he supported the increase as well.
Council Henry Daniel said it was a project that needs to be addressed.
"It's something that's got to be done," Daniel said. "It's not getting any better."
Councilman Mark Phillips, like Joyner, was not opposed to the I&I work taking place, however, he said he had rather a strategic plan take place first.
"I'd love to see this being a beginning of things," Phillips said. "We do need to start, but I want to look at more."
In other action Monday night, council:
• Announced that a public hearing for the fiscal 2006 budget will be held at 7 p.m. on Tuesday, June 7. Due to renovations taking place at City Hall, an exact location for the hearing had not been determined Tuesday.
• Denied a request from Person County Group Homes Director David Forsyth for $15,000.
The money was sought over a two-year period to help buy furniture for the Orchard Apartments off of Burch Avenue.
Warren informed council that the request could be funded from the city's revolving loan fund and would not affect the budget.