NKyTribune staff
The judges-executive for Boone, Campbell and Kenton counties voted Thursday to approve a 2019 fiscal year budget for Sanitation District No. 1.
SD1 maintains more than 1,600 miles of storm and sanitary sewer pipe and three wastewater treatment facilities that provide essential services to the community.
The budget includes a five percent increase in sanitary-sewer service fees, which will be reflected on customer bills beginning in August. The average monthly sanitary-sewer bill for residential customers will increase by about 38 cents for every 100 cubic feet (748 gallons of water) of water used, or about $2.28 per month.
The budget allows SD1 to continue to improve its aging infrastructure while keeping pace with regulatory requirements from the Environmental Protection Agency. In addition to infrastructure improvements and regulatory hurdles, SD1 is experiencing increased pension, health care and energy costs.
“In order to minimize these impacts on our customers, I’m pleased to report that we were able to cut other areas of our budget by almost a million dollars through the consolidation of jobs and streamlining our operations,” said SD1 Executive Director Adam Chaney.
Despite the increase, SD1 rates remain lower than many other comparable utilities in the region, including those in Cincinnati, Indianapolis, Akron and Cleveland (see chart). The SD1 rate for Fiscal 2019 includes the increase approved Thursday. Other utilities on the chart also have rate increases pending.
Some of the SD1 projects approved in this year’s budget include:
· US 27 and AA Highway sewer improvements, which will repair failing assets; reduce overflows along Industrial Road and Route 8 in Highland Heights and Silver Grove; and spur economic development.
· Elsmere Corridor sewer upgrades, which will repair failing assets and eliminate an estimated 1.87 million gallons of sanitary system overflows that currently discharge during rain events.
· Sanitary-sewer system upgrades in various parts of Boone County to reduce overflows, increase capacity and allow for continued economic development.
Boone County Judge-executive Gary Moore pointed out that a $6.2 million line of credit extended to SD1 to fund a project in the Hebron area has been reduced to $4 million, maybe less, because the costs came in lower than expected.
“We saved over $2 million on that project and it all went back to (Boone County),” Chaney said. “That was a true partnership, I think it’s working out well. We’re pleased to see that the project came in as low as it has and our goal is to pay that off as quickly as possible.”
Budgetary restraints precluded SD1’s from completing the required infrastructure upgrades, so the county agreed to the loan to ensure the work could be done in a timely manner.
Moore said the topic came up during discussion of the Boone County budget at a recent Fiscal Court meeting.
“That was noticed by us in a big way and I know you haven’t drawn any against that loan,” Moore said. “And it is a loan, it’s not a gift, I just wanted to point that out.”
SD1 recently reduced its storm water boundary to eliminate approximately 1,500 parcels in mostly rural areas. The current storm water fee of $5.04 per month is budgeted to remain the same for fiscal year 2019.