NORTH PORT, Fla. — City commissioners increased water and sewer rates by 10% on Thursday as North Port utilities grapples with rising costs and a laundry list of major projects with soaring costs.
WATCH: FOX 4's Hunter Walterman gets reaction from homeowner after city hikes utility rates:
“Nobody wants to see these numbers go up, nobody wants to have to pay more money for the services we get," Mayor Phil Stokes said before the vote. "But, I mean, we’re paying for the sins of the past. I hate to say that, I really do. But we are."
North Port utilities has almost $276 million in capital improvement projects planned through 2035. That includes $17 million to build a new effluent pumping station and pipeline for the North Port Wastewater Treatment Plant on Pan American Boulevard.
The Florida Department of Environmental Protections (FDEP) is requiring North Port to upgrade the plant after one million gallons of treated sewage spilled into a canal following Hurricane Debby.
“Most of those things are just to keep us operating. These are not for growth, these are not for expansion, these are not for high-hopes for somebody building out," interim Utilities Director Tricia Wisner told commissioners on Thursday. "This is just to keep the current service going.”
Other capital improvement projects include water and sewage line extensions, water main replacements, and a new administration building. North Port's old utilities building was severely damaged in Hurricane Ian.
On Thursday, Mayor Stokes expressed frustration that some of the capital improvement projects were 'kicked down the road' by previous city leaders. Some of the projects were proposed more than 10 years ago, Wisner told FOX 4.
"Every time you defer a project it gets more expensive," Wisner said. "There’s not many things as a utility that you can say, ooh, I don’t want to do that.”
The rate increase will generate an additional $7 million in yearly revenue, Wisner said. Over time, utilities will put more money towards the capital improvement projects - but most of that will go towards covering rising costs, Wisner said.
Over the next two years, utilities expects operational costs to increase sharply.
- Repairs and maintenance are projected to increase 66%, from $1.7 million to more than $2.8 million.
- Chemicals are expected to increase by 39%, from $1.3 million to more than $1.8 million.
- Salaries are projected to increase by 33%, from $5.5 million, to $7.3 million.
The rate increase will impact homeowners differently. Around 50% of North Port households are utilities customers, according to a city spokesperson. A significant number people use wells and a septic system.
Many older North Port homes are connected to city sewer and water lines. Bruce Baur is one such homeowner. Baur said he didn't know the city increased rates until approached by FOX 4 - a common response from homeowners on Tuesday.
Baur said he wasn't surprised.
“It’s like everything," Baur said. "A sign of the times. Everything inflates [...] We’re going to have to bite the bullet," Baur said. "Like everything else. Because that’s just the way life works.”
The rate increase will start in November, Wisner said. A household that uses 3,000 gallons of both water and wastewater pays a monthly bill of $108.07, according to the city. That will increase to $143.86 by 2028.
Commissioners also approved hookup fee increases on Thursday.
North Port is the only city in Florida that can't borrow money without voter approval. Commissioners have repeatedly said that makes it difficult to complete large infrastructure projects needed to keep up with the city's growth - that includes a new Police headquarters and waste transfer station.
In May, voters rejected multiple bond issues that would have paid for these projects. Some voters told FOX 4 they don't trust city leadership to spend money wisely.
North Port commissioners approved several rate hikes in recent weeks - including for trash collection. Nearly every time, commissioners expressed displeasure at increasing rates.
"This stuff is just allowed to accumulate for so many years to the point where, you know, how many more years can we play roulette? And roll the dice?," Mayor Stokes said.
"It’s just another sobering message that, you know, we have got to bite the bullet and address this.”