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Madison Utilities to increase rates for water and wastewater

MADISON – Madison Utilities has announced an increase in water and wastewater rates for residential customers.

In a public information notice mailed to customers, utility officials stated, “Due to the continuous growth in our area, Madison Utilities is in the process of significantly expanding and improving its infrastructure to insure there is an adequate supply of water for the residents and businesses of the City of Madison.”

“These improvements include projects that are estimated at over $68 million and will require borrowing to accomplish. Along with borrowing comes additional debt service (principal and interest) payments to the bond holders. In order to repay these debt payments, increases to our rates are required.”

“Recently, Raftelis Financial Consultants or RFC performed a detailed rate study for Madison Utilities. They examined each operating system’s (Water and Wastewater) current and future operations and maintenance costs, funding requirements and long-term capital plans. Also analyzed were consumer consumption trends for both domestic, commercial and irrigation accounts.”

“Further, they performed a cost-of-service analysis of our monthly base fees charged per meter. Based on this rate study analysis, they have recommended a five-year rate adjustment implementation plan.”

The notice concludes by stating, “Madison Utilities prides itself in providing efficient, reliable and courteous service. Our mission is to protect the public health and environment by providing abundant, affordable and high-quality drinking water and providing environmentally sound and affordable wastewater treatment and disposal.”

For a detailed rate structure with the new base fee charges, visit www.madisonutilities.org/residential. In the first paragraph, click “Rate Resolution” to open a 10-page resolution for a revised schedule of rates, charges and fees. Click “Rate Summary” to open a chart that details the water and wastewater rate schedules.

The notice includes two bar charts for comparison of water bills and sewer bills for Alabama cities. For example, for 5,000 gallons of water, Madison Utilities’ current rate is $28.08 and its proposed rate is $31.56, which compares to the chart’s highest rate of $64.60 for Cullman.

Madison Utilities’ office address is 101 Ray Sanderson Drive (adjacent to Palmer Road) in Madison. Hours for the drive-through window are 7 a.m. to 4 p.m. on Monday-Friday.

For more information, call 256-772-0253 during office hours or 256-508-8916 for after-hours emergency; email custserv@madisonutilities.org; or visit madisonutilities.org.

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