LAYTON — Culinary-water rates likely will be going up for the first time in six years effective July 1 as the City Council approves its new budget for 2000-2001.
Next year's preliminary city budget will be presented to the public at the City Council meeting on May 4 at 7 p.m.
Copies of the budget will be available to the public at Layton City Hall before the council votes on the final budget plan on June 15.
The city staff recommends the base fee for residential culinary water to increase 10 percent, from $7.20 to $8 a month and the overage fee for each additional 1,000 gallons to rise by 20 cents.
Proportionate increases also are proposed for commercial users with larger water meters.
Layton finance director Steve Ashby said the water fund is an enterprise fund that needs to be profitable.
It also is a fund that must help pay for a $1.7 million water tank proposed for next year in the northeast corner of the city.
Layton's general fund budget is proposed at $18.1 million, and although the sales tax revenue has a healthy forecast, the enterprise funds must pay for themselves. City manager Alex Jensen said the water fund borrowed $600,000 from the sewer fund in this current budget year and needs to borrow another $956,000 from the general fund in 2000-2001 to keep pace with water demand.
The council also has been struggling for several years over a deficit in the refuse fund that has been building up and is now about $140,000. Ashby is recommending the council approve a 50-cent-per-month increase for refuse collections effective July 1.
In addition, the council is considering creating a water-impact fee, much like the city's traffic-impact fee, that makes new growth help pay for its impact on the city. In this case, developers or builders would pay the water-impact fee and then pass the costs on to home buyers.
Since Layton's water, sewer and garbage billing is done in two-month cycles, those residents who will be billed in September likely will see the greatest increase in their bills from the new culinary-water rates.
Most of Layton, excluding some east-side pockets, does not have secondary water.
The council voted against secondary water installation citywide a few years ago.