City of Prescott to see 8% water utility increase on Jan. 1, 2024

By Danielle Boos
Posted 10/26/23

Prescott water rates will be going up this winter beginning in January. At the Oct. 9 Prescott City Council meeting, the council approved  an 8% simplified rate increase for the water utility.

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City of Prescott to see 8% water utility increase on Jan. 1, 2024

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Prescott water rates will be going up this winter beginning in January. At the Oct. 9 Prescott City Council meeting, the council approved  an 8% simplified rate increase for the water utility.

City Administrator Matt Wolf explained, “We as a city have already discussed and approved a full rate case study that would be the first since 1987.”

He shared that they are still waiting for the DNR to grant full acceptance and to get back to them on the loan grant that was requested through the Safe Water Drinking Fund program as part of well 3 remediation. He added that this is being done because of Well 3 remediation and water projects on Elm, Washington, and Locust streets. Wolf admitted that the average residential water user would see an increase of $2.86 or $11.44 per year, that would generate an additional amount of annual revenue to the water fund.

“Overall, we are expecting this increase to generate about $26,199.00 in terms of additional funding for the water utility account,” Wolf said.

The increase will go into effect Jan. 1, 2024.

West Central Biosolids

Wolf the addressed the Council members concerning West Central Biosolids.

 “So right now, as part of our wastewater treatment plant, we are required by the Wisconsin DNR to take basically, the sludge or the remaining process as it goes through the whole wastewater treatment planning and send it to West Central Biosolids,” he said.

The facility, locate in Ellsworth, serves Amery, Baldwin, Osceola, Ellsworth, Hudson, New Richmond, River Falls, Roberts, Somerset and Spring Valley. West Central Biosolids is looking to upgrade its facility and wants to take out a revenue bond.

“In order to do that, they’re looking to use some of our tax-exempt borrowing and they’re asking that for each community that participates in the West Central Biosolids,” Wolf said.

WCB is asking the City of Prescott to allocate $445,241 of borrowing power.

Wolf explained that after borrowing for Elm and Locust streets this year, they don’t expect any other borrowing to happen so there is a remainder balance in terms of tax-exempt borrowing that is just under $5 million.

“Since we’re not expecting to use any of that we don’t see any issues with allocating these funds. That revenue bond is completely on West Central Biosolids books. It doesn’t affect our borrowing.”

He further explained the city would be paying it off each year as part of their membership dues and WCB uses that revenue to pay off the bond.

Alderperson Bailey Ruona asked if the other communities that are part of the “group” have agreed as well.

“Yes,” Wolf said.

In order for the borrowing to go through, all the communities have to pass the resolution.

In reference to Biosolid’s addition, Alderperson Pat Knox questioned, “How long out then does that cover us with Biosolids? Do we have any idea, five years? Ten years?”

River Falls has decided to pull out of the group and build its own facility.

Wolf said the expansion has two parts. The first is adding a bay and updating some of the equipment and the second is the major addition.

The council approved the resolution.

Orange Street Project

Wolf said repairs on Orange Street and the Orange Street parking lot are wrapping up but the guard rail still needs to be installed and traffic lines need to be painted. After speaking with City Engineer Greg Adams and Public Works Director Mike Kinneman, the city invested in an additional layer of asphalt on Orange Street to make it last longer since the original bid only called for two inches of asphalt. The additional inch is a more standard depth for new roads and would be more durable for traffic. Monarch Paving, who is subcontracted to complete the job, submitted a quote of $29,347 for the project, but the funds to be used are already allocated so the project would stay under the overall budget. This extra project would put the total cost of expenses for Orange Street and the parking lot at $150,347, which is $11,743 under budget. The council approved the resolution for additional asphalt.

Municipal refuse and recyclables collection

In April 2023, Prescott Parks and Public Works Committee began to look into options for alternate refuse collection haulers due to poor service from current provider, GFL. The city has been operating on an “at will agreement” with single-family, two-family and three-family homes. After reaching out to other haulers, they received responses from Tennis Sanitation and Waste Management, with Tennis Sanitation giving the best customer service and the most competitive rates. The current proposed 2023 rates start at $20.43/month for a 65-gallon cart for refuse and recycling and $21.88/month for a 95-gallon cart for refuse and recycling. According to Wolf, “the contract includes a 3% yearly cost of living increase and an additional increase of $.09 for every $1.00 increase in tipping fees from the landfill. As a result, rates are expected to increase a minimum of 3% in 2024 to $21.04/month for 65-gallon cart service and $22.54/month for 95-gallon cart service.”

Tennis Sanitation also requires that trash receptacles on Broad Street are lined with trash bags to be provided by public works staff so that the garbage can doesn’t have to be picked up and dumped. Tennis, based in St. Paul Park, Minn., doesn’t have 35-gallon receptacles so individuals would need to upgrade to a 65-foot gallon. The city would no longer bill for trash services, but Tennis would bill residents directly.  After Nov.  1, there can be no changes to container sizes. If the City Council approves, beginning Jan. 1,Tennis Sanitation would take over all trash/recycling collection.

 “All multi-family, commercial and industrial still will be able to access and choose their own garbage services just as they are now,” Wolf said.

“The only thing I want to add is that they said that they do compost pick up, that’s the big one,” Ruona stated. “This is at least an option for people to use because we don’t have the option today.”

City Clerk Rashell Temmers informed the council that GFL terminated the 35-gallon trash bins the week prior. If any residents currently have one, they can keep it but new residents will not be able to get one.

Council approved the contract for Tennis Sanitation.

Highway 10

“One of the things we have been working on at least since 2017 was trying to come up with an option for a safe cross between north of Highway 10 and south of Highway 10,” Wolf said.

The Department of Transportation recommends full planning through a TAP (Transportation Alternatives Program) grant. If the city receives it, Wolf said it’s an incremental step that would allow more conversation with the DOT. As the process continues, if it is found that the program doesn’t meet the criteria, the city is allowed to pull back and reassess other options.

 “Before you is just approving the request for qualifications that would go out,” Wolf said. “Once we get those requests the future item will be brought to your next meeting for actual approval of whoever we get applicants from for this process.”

Wolf explained the process includes planning, design and then full funding for the project. “There’s no guarantees at all,” he commented, but added that with each step forward, it looks more promising.

Knox asked, “In any way, would this be related to or get tagged to the state’s request that we sign a maintenance agreement, as far as you know?”

“It wouldn’t get tagged to it, however, most likely than not, the state, as part of this, would require us to maintain it,” Wolf answered.

The council approved the request for “Qualification for Services for Planning of a Multi-Use Trail to connect North of USH-10 to Schools, Businesses, and the Existing Trail and Sidewalk System through a Transportation Alternatives Program Application.”

If you have any questions about the water rate increase, call Prescott Municipal Water Utility at 715-262-5544.

 

Prescott City Council, water rates, West Central Biosolids, Orange Street, garbage collection, Tennis Sanitation, Highway 10