Utility Bills and Taxes

A question that continues to be asked is, “how much, if any are we going to raise taxes and utility bills?” In all honesty, that is a difficult question to answer.

Before getting to numbers, I am going to explain how I see our situation. We have maintained the status quo for so long and the degradation has happened so slowly that it became easy to ignore the small problems until something happens and we wondered what happened. I believe that we are at that point as many ARE asking the question! To repair our infrastructure then keep it maintained is going to be expensive, but not cost prohibitive.

Revitalization costs/needs:

1. Fix our streets (currently $15,000 per 20’ Strip one mile long)
2. Remove trash from alleys
3. Replace missing and illegible signs ($20-$50 each)
4. Paint curb corners, fire plugs, etc.
5. Repair or replace fire equipment
1. Our Volunteer Fire Department recently received a grant for a new fire truck – the city is obligated to match a portion of the cost. ($10,000 to $25,000)
6. Purchase equipment

1. Backhoe has 6,500 hours and we must plan for a new one in the next 12-18 months. (used replacement investment $25,000 to $50,000)
2. Small Road Grader – to keep ditches cleaned out and dirt streets maintained (used replacement investment $25,000 to $50,000)

i. We have numerous dirt streets that have ditches full of dirt causing drainage problems which lead to higher mosquito populations.

ii. Though we have a tractor and box blade, we depend on the county for most of our grading needs such as major road work and ditch maintenance.

3. Asphalt maintenance equipment ($7,000 to $10,000)

i. Rather than wait two to four years to re-top our main streets, owning crack repair equipment will allow us to fix cracks as they appear.

ii. This will keep streets from degrading so quickly, saving money or allowing us to re-top a greater number of paved streets.

7. Rebuild sewer plant lift station (up to $250,000)
1. We currently are at the top of the list for a grant but we have been near the top for several years. (Match requirement 10 to 20%)
8. We must have a place for residents to take non-household-waste (large items that will not fit in the dumpster)

1. Costs

i. Labor

ii. Equipment (truck/trailer)

iii. Roll-Off Dumpster(average cost $450.00 each) or

iv. Fuel/labor to haul items to Abernathy or Littlefield land fill

2. Each time that we have allowed residents to dump in the roll-off dumpsters, we end up having to clean up bigger messes than we had to begin with!
8. Water system/well maintenance

1. We recently bailed two wells at a cost of around $8,000 each on average.
2. We have another well that has a high ground that will eventually mean the replacement of the pump motor. This could cost up to $20,000 in addition to the cost of bailing the well while the pipe and pump are pulled.

According to Triple C Waste (the company that empties our dumpsters,) many small cities that they service charge from $7 to $10 per month in addition to their normal utility bills to pay for services such as the above.

A number of residents that I have spoken with have asked why we do not receive or apply for more grants. After some research, I have found that because we cannot demonstrate need, we have little chance of being awarded grants. We are near the bottom of the rate scale for both utility and tax rates. Unless the grant issuing authorities at the state and federal level see that the City is taking every measure to take care of itself, they are not going to hand us money to repair things that they feel we have the means to repair ourselves!

Average rates for cities with population of 2,000 (small cities) and below based on the 2008 Texas Municipal League Wastewater Survey

	State Average	Anton Rate	Difference
Average fee for 5,000 gallons of water in small cities	$28.68	$13.00	-45%
Average wastewater fees in small cities	$19.36	$ 9.50	-49%
Total Average water and wastewater rates	$48.04	$22.50	-47%
These rates do NOT take trash, taxes, vector control, etc. into account

As you can see, we are nearly 50% lower than cities our size in Texas in for both water and sewer (wastewater) rates. In order to be considered for most infrastructure grants, our utility bills are going to have to be much closer if not higher than the state average.

The bottom line is that if we are to revitalize our community, we are going to have to receive more revenue. As a City, we only have a few means to raise revenue – taxes, utility rates, fines, fees, and grants. You can see the paradox – low fees, no grant money available; higher fees, take care of ourselves, and need fewer grant dollars. We have the means to do this, it is going to take investment and hard work from all of us.

Please email me your thoughts and concerns.

Karl
mayor@cityofanton.org