BOA gives final okay for sewer rate increase

By Buck Collier, Special Correspondent
Posted 6/27/24

HERMANN — Slightly higher sewer bills will be arriving after the Board of Aldermen Monday night gave final approval to a bill aimed at increasing the amount of revenue on hand to satisfy …

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BOA gives final okay for sewer rate increase

Posted

HERMANN — Slightly higher sewer bills will be arriving after the Board of Aldermen Monday night gave final approval to a bill aimed at increasing the amount of revenue on hand to satisfy requirements of bonds sold a decade ago.

On a 3–1 vote, the panel approved bumping the rate from .0052 cents to .0056 cents per gallon of water used. The monthly service charge for sewer use is $29.25. City Administrator Patricia Heaney at a previous meeting explained that the rate hike is needed to generate an additional $60,000 to meet the revenue-surplus requirements of a sewer bond issue approved in 2010.

Dolores Grannemann, who at that earlier meeting questioned the amount of money needed, cast the dissenting vote.

On a related front, Heaney Monday night reminded residents of a public meeting scheduled for Monday, July 8, at 6:30 with bond counsel Joey McLiney to explain the proposed $15-million sewer bond issue on the August Primary Elections ballot. Upgrades are needed to the city’s aging wastewater system, including the relocation of a sewer lift station out of the floodplain in Lions Field near Frene Creek. During flooding, that lift station can only be reached by Department of Public Works personnel by boat.

The city is seeking voter approval of the bonds in order to obtain a low interest rate. City Hall could sell bonds without voter approval, but that would come with substantially higher interest rates. Heaney said the lower rates resulting from voter approval translates into a smaller increase in sewer bills for paying off the bonds. City officials estimate approval of the bonds will mean a 4- to 7-cent increase in monthly sewer bills.

“You really want to get that word out,” Heaney said.

Mayor Bruce Cox noted that he has received many comments about the closing of Highway 19 (Market Street) at 6th Street while a new bridge over Frene Creek is building. “I’ve had a lot of people complain to me about the bridge,” he said. “Folks, it’s out of our hands,” he said.

The Missouri Department of Transportation estimates it will take until early August to complete the project. The work has forced local and other traffic onto alternate routes to get around town. That is putting stress on otherwise lesser-used streets and residential neighborhoods. It’s also resulting in increased traffic in sometimes crowded areas, such as the City Park.

“If you go through the City Park, be careful by the swimming pool,” the mayor said, adding it would be better if motorists found a route other than through the park and pool areas.

In other matters, the aldermen acted on a raft of legislation, mostly annual housekeeping measures. In addition to giving second-round approval to a $15.8-million operating budget for Fiscal Year 2025, which begins July 1, the board approved an agreement for the city and the Messmer-Eitmann Senior Center to split an $18,000 bill to fund service by OATS for public transportation services.

The Hermann Area District Hospital previously partnered with the city to help fund OATS, but the hospital opted out of the deal last year. The Senior Center stepped in as the city’s partner for the transportation service.

Also approved was the acceptance of a plat that will allow property in Village Market to be subdivided to clear the way for construction of a new Dollar General store on the site now used as a dog park. A new Dollar General building will allow Cash Saver Village Market grocery store to expand into the area now occupied by Dollar General.

The board also approved a request from Public Works to declare as surplus property a five obsolete electric transformers. The plan is to place the equipment for auction on Purple Wave, an online auction service that deals largely with vehicles and equipment used by government agencies.

Several contracts were renewed related to the city’s tourism industry: Rack card distribution service by CTM; marketing ads by Madden Media Marketing; search engine optimization and website maintenance and housing by Madden Media; ads placed in the Missouri Travel Guide by Madden Media; marketing of the city by Madden Media Search Engine Marketing.

The board also approved two Special Event Applications — one requested by the Hermann Area Chamber of Commerce for the Patriots 5K run and silent auction on July 6 at Riverfront Park Pavilion and various city streets to benefit the VFW Post and a request from Camp Rainbow Foundation to take part in the Hermann Wine & Jazz Festival at the Amphitheater on Saturday, Aug. 3. Camp Rainbow is a camp for children battling cancer.