he 2 percent increase (1.97%) is necessary says Director of Corporate Services Christine Walker to keep pace with the cost of required maintenance and upgrades of the water system.
Walker notes that the expenses with operating water continues to rise with legislation and new regulations that must be in place and always cost more.
She adds wages, benefits and salaries are also on the rise.
Rising expenses are also a factor, Walker cites the price of chlorine as an example, noting that chorine has increased in cost in excess of 250% from $18,000 to $48,000 per year and the ongoing increase to utilities and supplies are also exceeding the recommended annual rate increase.
On top of all of this, Hanover is facing 7.6 million dollars in major water and wastewater capital projects over the next five years.
-7th Ave Water Tower Rehabilitation/Replacement - $4,000,000
-Dechlorination and Clarifier Upgrades required by 2021 - $1,635,000
-Vortex Grit Removal System - $600,000
East Plant Fineair Diffuser Upgrade - $600,000
Replace Screening Conveyor - $600,000
Primary Digester Upgrades - $400,000
While the cost may seem daunting, Walker says Hanover has been preparing for this for years.
The 2 percent (1.97% ) rise in water rates in Hanover will allow the Town to collect about 1.7 million in water revenue and 1.9 million in wastewater revenue.
The new water and wastewater rates suggest that $666,200 would be available for water capital requirements and $818,600 for wastewater capital requirements.
These rates says Walker will provide future infrastructure and capital investment to help ensure sustainability at each plant.