Daphne Utilities approves rate increase

Posted 8/31/11

DAPHNE, Ala. - Water and sewer customers of Daphne Utilities can expect to see their bills jump an average of nearly $7 per month starting in October, after the utility’s board approved the increase Wednesday night. More than a dozen people spoke …

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Daphne Utilities approves rate increase

Posted

DAPHNE, Ala. - Water and sewer customers of Daphne Utilities can expect to see their bills jump an average of nearly $7 per month starting in October, after the utility’s board approved the increase Wednesday night. More than a dozen people spoke out against the increases, which will be their second in as many years. The board argued that rates needed to be raised in order to make capital improvements, meet regulatory guidelines and maintain its AA- credit rating.

Kit Smith, a 35-year Daphne resident, said that with an unemployment rate near 10 percent, he has a problem with the timing of the increase. “We’re in no time right now to try to push this on somebody. Right now we have 378 homes listed for sale in Daphne in all likelihood because of distressed situations, and here you are trying to put an additional burden because you think you’ve got to go spend some money.”

Kate Irvine, who said she was looking to buy her first home, wanted to know where the increases would end. “My family and many families around town are holding off on just general repairs and maintenance at their own houses. Every day we hear about another expense going up; milk, bread, eggs, gas, insurance and taxes just to name a few.” Irvine, who works in commercial real estate, likened the new rates to a rent increase, saying “we can’t risk losing our tenants and a rent increase at this time is terrible and ridiculous. We need to hold off and reevaluate and wait until times are just a little bit better.”