Homes on Oahu's city sewer system could see sewer bills go up by 12 percent under a proposal floated by the city administration. City plans to propose
increase in sewer feesThe Council questions using sewer funds
to help balance the city operating budgetBy Crystal Kua
ckua@starbulletin.comEnvironmental Services Department Acting Director Frank Doyle told the City Council Budget Committee yesterday that the administration is about to submit a proposal to raise sewer fees beginning July 1, 2004.
A sewer fee increase is not being proposed for next year's budget, which the Council is currently scrutinizing.
Sewer rates have not been raised since 1993.
But City Council members continued to question the administration's practice of transferring funds from the dedicated sewer fund to help balance the city's $1.1 billion operating budget. The administration transferred $60 million for the current fiscal year, $41 million the previous year and is looking to transfer $25 million for the next fiscal year.
The administration calls the fund transfers a reimbursement to the general treasury fund for past sewer-related construction projects paid for by the general fund. Council members call it a raid on the fund.
"If we didn't transfer money out of the sewer fund, would we have to raise (sewer fees) as much ... or at all?" asked Budget Chairwoman Ann Kobayashi.
"It looks like you still have to raise them, but I have to say, I'd have to go through the numbers to say exactly how much," Doyle replied.
"If we had not done the $60 million (transfer) ... it would only have been about a half-percent decrease in what we would've needed to raise rates," Environmental Services Executive Assistant Tim Houghton said. "Yes, it would have an impact, but it would not put us in the position of not raising rates."
Officials said a major reason for the increase is rising construction costs. The city is under court mandate to make improvements to its aging sewer system.
Some Council members say because the city will need expensive sewer repairs and upgrades in the next several years, it makes sense to keep money in the dedicated sewer fund.
Sewer bills, which come every two months, are calculated based on the amount of water used beyond 2,000 gallons.
The average monthly single-family sewer bill is about $33.
Houghton said that the updated numbers will be provided to the Council when the new sewer fee proposal is presented.
City & County of Honolulu