Red Oak City Council approves minor hike to water and sewer rates

 see a slight increase to their water and sewer rates in their upcoming bills.
At the meeting on April 4, the council discussed the ordinance amendments for rate increases. City administrator Brad Wright said the water rate had a proposed 2% increase over last year due to the increased cost of production, though the rates were still somewhat low.
“By comparison, we are extremely cheap compared to other communities, and we’re blessed to have an aquifer that requires very little treatment,” Wright said.
The first reading of the ordinance amending city code for water rates was approved by the council. A motion to waive the second and third readings was defeated by a 3-2 vote, with Councilmen Brian Bills and Tim Fridolph voting no. A four vote majority was required to waive the second and third readings. Bills said the reason he voted no was because he felt the public should have a chance to weigh in on the increases before the rate increases were finalized.
The second ordinance amendment would increase the city’s sewer rates by 5%.
“We are required to have our fees set to bring in a revenue that exceeds our expense by 10%, that’s what our bonding requires. We feel that 5% allows us to do that,” Wright explained.
The first reading of the ordinance was approved, and the second and third readings were waived by a 4-1 vote, with Bills again voting no. A motion to adopt the ordinance change was approved unanimously.
The council also discussed a resolution approving a financial incentive for a developer to facilitate development on real property providing public benefit. Wright said the request was from the Acorn II Group to waive the hookup fees of $1,750 each for water and sewer.
“This is for the home they are finishing at 3003 N. 4th St. It’s a total of $3,500 to assist in the sale of that home,” said Wright.
The council approved the resolution as presented.
In other business, the council:
• Approved hotel/motel tax applications as presented.
• Approved a request from Buck Snort for street closures on 4th Street from Coolbaugh Street to Washington Street from noon to 6 p.m. on May 21, June 18, July 30, Aug. 27, and Sept. 17 for Bike Night events.
• granted authorization for reserve officers Dustin Terry, Kyle Rhamy, and James Scott to carry weapons.

The Red Oak Express

2012 Commerce Drive
P.O. Box 377
Red Oak, IA 51566
Phone: 712-623-2566 Fax: 712-623-2568

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