Solon Officials Mulling Higher Sewer Rate Increases

Solon sewer plant officials say they expect to operate at a budget deficit in 2012 despite a projected rate increase of 9 percent.

Whether city officials decide to raise rates more or attempt to find cuts to offset the projected $210,571 budget deficit will be decided over the next couple of months as the city prepares for next year's budget.

And that comes after water reclamation officials have worked hard to cut more than $400,000 in savings through early retirements, staff re-organizations, outsourcing, slashing chemical costs and other changes.

The problem, said Director Paul Solanics, is customers aren't using lots of water.

"It comes to the point where there is only so much you can do," Solanics said. "If usage is down, something has got to make up for that."

Solon residents pay, on average, about $472 per year on sewer rates. An increase of 9 percent is roughly an extra $10 per quarter.

Members of the public works committee said they wanted to move carefully. Councilman Bob Pelunis said he wants to make sure the committee does its "due diligence" and looks closely at the numbers before moving.

The public works committee expects to discuss the rates again in October.

Based on the water reclamation department's budget projections – which include 9 percent rate increases every year – money will be tight each year until 2016, when the city will complete debt payments from a 1996 bond issue.

A surplus of nearly $2.4 million is projected for 2016.

The trick for Solon officials is getting there.

"We have to find a way to get to 2016 keeping rate increases as low as possible," said Councilman Bill Mooney.