Buffalo Grove OKs 35 percent water rate hike

Beginning in January, Buffalo Grove residents will pay more for water.

On Monday, the village board approved a 35 percent increase in the rates beginning in January and a 30 percent increase the following year.

Each year following that, the board would have the option of approving a 4 percent increase.

In 2013, the rate will climb from $2.40 per thousand gallons of consumption to $3.24. With the 81-cent sewer rate added, the combined rate will be $4.05. This is still 35 percent less on average than the Northwest Water Commission communities are charging, said Finance Director Scott Anderson.

For a two-month billing cycle, the impact on a household consuming 6,500 gallons per month would be $13.65.

In 2014, the rate will go up to $4.21. The sewer rate will also go up, to $1.05, making the combined rate $5.26.

The impact over a two-year span on an average household would be $29.51 per billing cycle.

Anderson said the village has traditionally had water rates lower than surrounding communities. Before 2006, he said, the village had gone 23 years without a water rate increase.

During that time, development fees had been subsidizing the rate, while the system was young enough that extensive maintenance was unnecessary.

However, Anderson said, the system is now aging, while development had slowed and water consumption is down due to such factors as energy efficient appliances.

The village has spent $4 million on infrastructure.

With the increase, Anderson said, the village will be able to fund operations and capital improvements and also build a reserve.

“We’re looking at a quarter of a billion dollars of assets,” he said of the system.

For comparison, he said Buffalo Grove’s rates have been the lowest among 50 comparable communities, save for two, Evanston and Highland Park.

If the village had tied the rate to the consumer price index in 1983, today the rate would have been $4.14.

Trustee Steven Trilling said that even with the increase, water is still a bargain for village residents.

Noting that $4 would buy two 16-ounce bottles of water, he said the $4 would equate to 8,000 bottles of water..

The board was originally scheduled to vote on the increase three weeks ago. But resident Rob Sherman said the wording of the agenda item was misleading. The board agreed to move the matter over until Monday, and the notice was republished.

“Apparently he is satisfied with their publication,” Village President Jeffrey Braiman said.