Residents who use about the same amount of water each month may have noticed a slight increase in the utility bill included with this newsletter.

On Jan. 1, City water and sewer rates increased by 3 percent.

The increase responds to a 2010 study that evaluated the existing rate structure and its ability to fund future expenses. The study predicted that, if current rates were left intact, the City would not have enough money in the future to repair and replace water towers, wells, watermains and other systems necessary to provide the community with water.

“Maintaining the infrastructure that delivers water to thousands of homes and businesses each day is expensive,” said City Administrator Barry Stock, explaining that another rate increase can be expected in 2013. “By planning ahead and making only slight increases to our rates over time, we’re making sure the City is financially prepared to address breaks or failures that occur.”  He added that the rates for street light maintenance and storm water collection went unchanged for 2012.

In addition to setting aside dollars for future utility projects, the City uses the money charged for water and sewer service to pay for costs related to daily operation and maintenance of the system. These include everything from the electricity needed to run water-related facilities to expenses for personnel, training, mandated testing and ongoing supplies.

Many have wondered why Savage’s water and sewer fees are higher than some other cities. Water sources that are most readily available to Savage cannot be utilized as in other cities, due to the adverse impact it would have on environmental features like the Savage Fen Wetland Complex and Boiling Springs. As a result, the City has had to develop other sources for water that are not as accessible and more costly. For more information about the restrictions Savage faces, visit the Public Works/Utility Services page at the City of Savage website.

2010        2011       2012

Water – Base Rate         6.90         7.11         7.32
Sewer – Base Rate        3.77         3.88         4.00
Street Light Utility         2.99         2.99         2.99
Storm Water                 6.42         6.42         6.42