City leaders to consider increase in storm water rates, bringing average monthly utility bill to $122

photo by: City of Lawrence

The city's annual financial impact table shows what a resident with the average single home value of $200,000 and average water use of 4,000 gallons per month will pay in property taxes and utility charges to the City of Lawrence for 2023, with comparisons to past years included for reference.

City leaders will soon consider approving an increase to the city’s storm water rates, which together with previously approved utility rate increase will bring the average utility bill to $122 per month.

As part of its meeting Tuesday, the Lawrence City Commission will consider adopting an ordinance to set the equivalent residential unit (ERU) for storm water drainage at $7.38, which is a $0.32 or 4.5% increase from the 2022 rate of $7.06. Average charges for storm water will increase from about $7.08 to about $7.42 per month.

Commissioners have previously approved utility rate increases for water/sewer and solid waste service, which, in combination with the storm water rate increase, will increase the monthly utility bill for a resident using 4,000 gallons of water from about $115 to $122 per month, or by approximately 6.2%.

Residents are charged for storm water drainage based on the amount of impervious surface on their property. One ERU represents 2,366 square feet of impervious surface, which are surfaces such as pavement or roofs that do not allow for water to pass through and thus runs off into the city’s storm water system, according to a city staff memo. The proposed storm water rate increase will fund the operating budget and capital improvement projects approved as part of the 2023 budget.

The memo states that city staff worked with Raftelis Consulting to develop the annual storm water model, which projects anticipated revenues and expenses for the next five years and provides ERU rate recommendations. The city’s storm water infrastructure system includes over 7,200 structures, 16 miles of open channel, 160 miles of storm water pipe, and four pump stations. The storm water fees collected from residents and businesses provide funding for the maintenance, replacement and expansion of the storm water system.

The city’s three utility funds are enterprise funds, meaning the rates charged to residents are set to cover the personnel, maintenance and other costs of operating the utility service. The commission approved the rate increases for water/sewer and solid waste services in November, making the storm water increase the final rate increase to be considered. Water/sewer rates will increase by 8.75%, while solid waste rate will increase by 3% for residential customers (increases for downtown, commercial and dumpster rental services were more).

The commission did not approve a property tax increase of as part of the 2023 budget, but residents will still pay more in city property taxes due to historic increases in property values. Using the average home valuation increase of 12% for 2023, the owner of a $200,000 home will pay $1,016 in city property taxes in 2023, compared to $907 paid in 2022, according to an updated version of the city’s annual financial impact table. Including utilities, the same homeowner using 4,000 gallons of water per month will pay a total of $2,480 in taxes and utility charges to the city in 2023, compared to the $2,286 paid in 2022.

The Lawrence City Commission will convene at 5:45 p.m. Tuesday at City Hall, 6 E. Sixth St.