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Rate increase inevitable
Published Wednesday, February 6, 2008
While no one likes to see an increase in their monthly utility bill for the second straight year, the Fergus Falls City Council, it appears, has no choice but to do so.
Due to an increase in expenses, the city has had nearly $175,000 in combined operating losses over the last four years for its water, sewer, and garbage operations. It means that city officials had to either pay for the losses out of a fund balance, the city’s equivalent of savings, or take money from the general fund, paid for through property taxes.
Ultimately, city officials could either raise utility rates or increase property taxes.
Considering residents and business owners pay for water, sewer and garbage services based on the amount they use, a utility rate increase seems more fair. And if such services were provided by private business, and the business had faced operating losses, rate increases inevitably would have followed.
Let’s hope, however, that inflation curbs, and the city can avoid a significant rate hike next year.
Comments
The Daily Journal is happy to host community conversations about news and life in Fergus Falls and the surrounding area. As hosts, we expect guests will show respect for each other. That means we don't threaten or defame each other, and we keep conversations free of personal attacks. Witty is great. Abusive is not. If you think a post violates these standards, don't escalate the situation. Instead, flag the comment to alert us. We'll take action if necessary. It's not hard. This should be a place where people want to read and contribute -- a place for spirited exchanges of opinion. So those who persist with racist, defamatory or abusive postings risk losing the privilege to post at all.Posted by lenny (anonymous) on February 6, 2008 at 2:34 p.m. (Suggest removal)
Thank you, for once again apologizing for city government. Don’t you ever get tired of being toadies?
Posted by Kurtisishere (anonymous) on February 6, 2008 at 5:08 p.m. (Suggest removal)
I wonder if the $175,000.00 in combined operating losses between the water, sewer, and garbage operations include the $87,000.00 the city spent on unusable plastic trash cans that are sitting idle in one of their storage yards. Now there's a good example of ACTUALLY passing the buck!!!
http://www.fergusfallsjournal.com/news/2...
I wonder why there wasn't a follow up to that story? Did Mcneilus make good not to charge the city a penny of the $200,000.00 dollars that it spent on the truck that was incompatible with the bins? When the truck was returned to the company were there any hidden costs? Also what is the status of the plastic bins today? Are they going to be paid for with this rate increase?
The people of Fergus want to know...or do they?
Let's hope, however, the city doesn't make as many mistakes as they did last year, and we can all avoid taking one in the rear!
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