Village staff is proposing to increase the Allouez Sewer, NEW Water Sewer, and Stormwater utility rates, included on the monthly Allouez Utility Invoice, for the following reasons:

Sanitary Sewer Utility Rate Increase

Sanitary sewer utility costs are recovered through the Allouez Sewer and NEW Water Sewer service charges billed on the monthly Allouez Utility Invoice. Due to both a decrease in revenue associated with a lower volume (metered water usage) and an increase in operation and maintenance (O&M) cost, the following rate increases are proposed to maintain adequate cash flow for the utility.

NEW Water, the regional wastewater treatment facility, accounts for nearly 75% ($2.2 million) of the utility’s $2.9 million O&M budgeted cost for 2024. To meet expected inflationary increases and NEW Water’s anticipated rate increases of 5- to 7-percent each year, the Village must raise rates annually to keep pace with rising wastewater treatment charges. This approach will keep rate increases modest and avoid steep rate increases associated with raising rates every other year.

The last sanitary sewer utility rate increase was implemented in 2022.

The 2024 Allouez Sanitary Sewer Utility Rate Study, prepared by Ruekert & Mielke, is attached providing an in-depth analysis of the utility’s revenue requirement, the calculation of the proposed rates, and a 5-year forecast. Also included is a customer bill analysis along with a neighboring community residential sewer rate comparison.

Background

The Village’s sanitary sewer collection and conveyance system provides service to approximately 5,500 customers. The collection system comprising of 61-miles of sewer and two lift stations, transports wastewater to NEW Water (Green Bay Metropolitan Sewerage District) owned interceptor sewers. The wastewater is treated at NEW Water’s regional wastewater treatment facility.

The Sanitary Sewer Utility accounts for all sanitary sewer capital improvements, operation and maintenance costs.

 

Stormwater Utility Rate Increase

Stormwater utility costs are recovered through the Stormwater service charge billed on the monthly Allouez Utility Invoice. Due to increased operation and maintenance costs paired with the utility’s negative operating cash balance the following rate increase is proposed:

The rate increase along with an infusion of $200,000 in American Rescue Plan Act (ARPA) funds will improve the financial position of the utility, but it is anticipated that an additional rate increase will be needed within the next couple of years.

The last stormwater utility rate increase was implemented in 2015.

Stormwater utility charges are calculated using the Equivalent Residential Unit (ERU) methodology. Under this method, a single ERU is based on the impervious surface area of a typical single-family home. (The impervious surface includes rooftops, patios, porches, driveways, and sidewalks.) For Allouez, the average square footage of one ERU is 3,663 square feet. All single-family residential parcels are charged one ERU per month. With some exceptions (including duplexes), the number of ERUs charged to non-single-family residential property is based on the impervious surface of the parcel.  The number of ERUs charged is determined by dividing the parcel’s impervious surface area in square feet by 3,663 square feet.

Background

In general, the Village’s stormwater system consists of street, curb and gutter, 68-miles of storm sewer, 2,159 catch basins, 1,159 manholes, culverts, swales, outfalls, and regional ponds. The stormwater system’s purpose is to safely collect, convey and treat/remove pollutants from stormwater prior to being discharged to the East River and Fox River.

The Village of Allouez established a Stormwater Utility Ordinance in September 2003 to equitably fund stormwater system cost. The utility accounts for all stormwater capital improvements, operations, maintenance, and any other costs of meeting federal and state stormwater management mandates.

 

Schedule for Approval

If approved, the new rates will take effect beginning with the July 2024 bill which accounts for June usage.

• April 10, 2024- Joint Public Works Committee and Finance/Personnel Ad Hoc Committee Meeting
  Proposed utility rate increases discussed.
  View Meeting Agenda/Minutes
• May 7, 2024- Village Board Meeting
  6:30 p.m. Allouez Village Hall, 1900 Libal Street
  Residents may attend and provide input during Public Comment.
  View Meeting Agenda/Minutes
• May 21, 2024- Village Board Meeting
  6:30 p.m. Allouez Village Hall, 1900 Libal Street
  Residents may attend and provide input during the Rate Increase agenda item.
  View Meeting Agenda/Minutes

Please contact the Village of Allouez Water Department at 920-448-2808 for any questions you may have regarding your Allouez Utility Account.

 

Links

• 2024 Allouez Sanitary Sewer Utility Rate Study prepared by Ruekert & Mielke
• Sanitary Sewer Bill Comparison
• 2024 Allouez Stormwater Utility Rate Study
• Stormwater Bill Comparison
• May 2, 2024 Rate Increase Announcement

 

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