Meeker residents and business owners will see another increase in what they pay for sewer, water and trash in the near future.
The Town Board, during a special meeting on Monday, met first as the Public Works Authority and voted 5-0 for the increases.
The increases include raising monthly rates for sewer by $8.50, $1.50 more for water and $1 more for trash. These new rates will become effective for the billing cycle on or after May 1, 2021.
The motion also included that beginning May 1, 2022, water, sewer and trash rates will increase three percent each year.
In November, the PWA voted to increase monthly water, sewer and trash rates by $1 each. Those increases became effective Dec. 1, 2020.
The PWA also adopted a resolution that pledges those revenues and a portion of an existing city sales tax as security to pay for a $1.7 million loan from the Oklahoma Water Resources Board to fund improvements to the Town’s sewer system.
After meeting as the PWA, the Trustees met as the Town Board, voting to approve the action taken as the PWA and also adopting a resolution ratifying those actions.
Monday’s special meeting was called to determine how the Town will pay for a major sewer and manhole project.
Town Administrator Dickie Walton has explained the project is to replace more than 17,000 lineal feet of sewer line and to repair or replace sewer manholes. Walton estimates there are about 100 manholes that need to be repaired or replaced throughout the town.
The project is estimated to cost around $1.7 million.
The Town Administrator recently pointed out some funds have already been secured. “We have a $200,000 Principal Forgiveness loan from the Oklahoma Water Resources Board, $170,000 from the Indian Health Services and we received a $60,000 Principal Forgiveness loan from OWRB that funded the study.”
Walton added, “We received a $78,000 Principal Forgiveness loan from OWRB for the engineering and smoke test. But someone else needs to come on board to fund the rest.”
Allen Brooks and Nate Ellis with the Public Finance Group, who are assisting the town with the loan application, and who attended Monday’s special meeting, presented figures showing the net loan amount is $1,435,000. That figure, along with the Principal Forgiveness loans less costs of issuance/grant administrative costs of $100,500 brings total project funds to $1,704,500, they said.
Average annual debt service on the loan is $64,098, they noted.
Brooks pointed out the Principal Forgiveness loans are essentially grants.
Brooks and Ellis said they expect the loan to be on the May agenda of the Oklahoma Water Resources Board.