The Henderson City Council voted to approve a water rate study that could mean higher water costs for city customers – from bulk users and commercial all the way to individual households.
Regional water rates have increased over the past couple of years, but the city rates haven’t, which translates into the city losing money because its rates were lower than the regional rates it pays.
The city is the managing partner in the Kerr Lake Regional Water System with a 60 percent ownership; the city of Oxford and Warren County each have 20 percent ownership in the regional water system.
During a discussion of the recommendation at the Sept. 14 City Council meeting, Council Member Catherine “Kitty” Gill said, “People are still fussing about the increases they have now.” The current rates are for FY 2027 to correspond with the July 1-June 30 fiscal year.
Assistant City Manager Christy Lipscomb said the study would look at the next five years – FY 2028 through FY 2033.
The study will cost between $55,000 and $56,000. Lipscomb said Raftelis was selected because it is familiar with the city’s water system and financials and performed the most recent rate studies.
Council Member Garry Daeke made the motion to approve the rate study with a second by Council Member Tami Walker. Gill voted against the motion and Council Member Lamont Noel was not present for the vote.
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