Steep utility rates on the horizon for Bellingham residents. Here’s why
Bellingham residents could be paying a lot more money to fill a glass of water and flush the toilet in the years ahead, under a new rate-system proposal.
City Council members recently got their first look at recommended rate hikes for water, wastewater and stormwater service because the city needs to build reservoirs, lay pipelines, replace pumps and comply with environmental rules related to nitrogen discharge into Bellingham Bay.
Residents could be paying 13% more per month on their combined utility bills for the next two years, followed by 11% rate hikes in 2028 and 2029, then annual price increases of a little more than 6% in each of the five years after that, according to a plan discussed at a County Council committee meeting Monday, April 14.
That means that an average residential water bill could rise from the current $135 a month to $302 a month in 2035 and $444 month in 2045, according to Carollo Engineers, a Seattle firm that was hired to examine the city’s water system needs for the next 20 years. Such a plan is required by state law every 10 years.
An alternative rate plan includes addressing the nitrogen levels in wastewater, which would cost even more money to implement, meaning that utility customers could be paying $350 a month in 10 years and $635 a month in 20 years.
Carollo Engineers told the council that the city is looking at spending $532 million over the next 20 years across its entire system — including repairs, new pipes, reservoirs and pumps to maintain water pressure.
Rate hikes, bond sales and federal low-interest loans will cover the cost, according to Carollo’s report.
The Public Works Department’s staff is recommending the lower-cost option for consumers and delaying efforts to curb nitrogen in wastewater.
Several government agencies will be required to review the water system plan before it is scheduled to City Council consideration and a public hearing in early August. Delays in review of the plan could push City Council action into October or November, however.