Anderson City Council approves utility rate increases, but electric has to go to state commission
The Anderson City Council has officially approved rate increases for its city-owned sewage and electric utilities. But the vote wasn’t unanimous. IPR’s Thomas Ouellette reports on what happens next.
In a 6-1 vote, council members approved two rate increases. Sewer rates will increase by 18 percent – costing the average household about $7 more a month. Electric rates have a 13 percent increase for residential households – or between $12 and $17 a month.
Combined with the first phase of water utility rate increases that began last November, Anderson residents will be paying roughly $25 more a month in utilities overall.
Council member Tiffany Harless cast the lone no vote. She says she understands necessary rate increases, but believes those proposed are too demanding.
“That’s too much of an ask too fast and it’s not fair to the customers by any means,” she said.
Outside of her city council position, Harless is the office supervisor at the Anderson Township Trustees Office. She says she’s seen the impact of raising utility rates firsthand.
“I’m concerned about what folks are going to do, especially those on fixed income,” Harless said. “Because now we’re asking them to pay a quarter to 30 percent of their fixed income towards their utilities.”
Anderson Mayor Thomas Broderick, Jr. says federal law prohibits city-owned utilities from running in the negative. He says the city runs the risk of further expenses if rates don’t go up.
“If we’re not in compliance, if we don’t do the things we’re supposed to do,” he said, “then we can receive financial fines and penalties from the government.”
The electric rate increase isn’t final yet – it will now begin an approval process with the Indiana Utility Regulatory Commission that’s expected to take several months.
The sewer rate increase doesn’t need state approval. City officials estimate residents will see the increase on April utility bills.
Mayor Broderick says this is the first time the city has raised rates on either utility in more than 10 years.
Thomas Ouellette is our reporter and producer. Contact him at thomas.ouellette@bsu.edu.
