NORTHAMPTON — The City Council unanimously approved significant water and sewer rate increases for the coming fiscal year, although not without first questioning why the increases had to happen in the first place.

Property owners can expect to pay 210% more in base water rates starting July 1, as well as a new base sewer rate. For most homeowners, the combined increases will mean paying an additional $244 to $337 a year, depending on the size of water lines that feed their homes. The fees for water use are not changing.

The mayor’s office said the rate increases are needed to offset the expected loss of revenue from the closure of the Coca-Cola bottling plant, currently scheduled to shut down at the end of the year. The plant accounts for 25% of all water and sewer revenue to the city, according to the Northampton Department of Public Works.

At Thursday’s council meeting, councilors questioned DPW Director Donna LaScaleia on whether the department or the city could have done something sooner to prevent such a drastic increase. Ward 5 Councilor Alex Jarrett asked LaScaleia why the city did not do more preparation for the impending plant closure, which Coca-Cola first announced in 2021.

“Why didn’t we anticipate this by building up reserves over a long period of time, and then have those funds to use in this time, until we’re sure we don’t have another business coming in to make up for this loss?” Jarrett asked. “Because we’re asking residents a considerable amount more, and that’s a concern.”

LaScaleia said there are reserves on hand, but that they are needed to pay off various debt for capital projects. She also noted that there had been no rate increases for water and sewer over the last several years, and that rising costs necessitated the increase.

“We have had a level-funded budget for several years due to pandemic-related disruptions and economic hardship on folks,” she said. “If we don’t make a rate adjustment now, if we allow the revenue to fall off a cliff, we will be exhausting our reserves far sooner and be unable to handle the debt service as it comes to us later on.”

The increase in base rates does allow exemptions for qualifying low-income and senior households. But Ward 6 Councilor Marianne LaBarge said many residents who did not meet that threshold have reached out to her with their frustration regarding the increase, which adds to the already high cost of living in the city.

“I have people who are so upset about this increase,” LaBarge said. “You’re gonna hear that many people want to move out of here. They’ve had it. Every time they’re turning around there’s a fee, there’s a fee. And I feel bad for people because this is a big increase and I wish we could help the people who are over that threshold and we cannot.”

LaScaleia said that the increase in base rates was the best way to make up for the lost revenue, noting the total increases could be broken down to about $20 a month for most residents.

“Any increase is an increase, and I understand that there is a burden for people,” she said. “I would never sit here and say that this is not burdensome or that this cannot be disruptive for people, but we have built this model to help stabilize the enterprise.”

Council Vice President Karen Foster also acknowledged the current squeeze many residents face with living costs, but agreed that the increase was needed to make up the loss in revenue.

“I recognize where this is coming from and the difficult position the DPW and the city is in,” she said. “I do intend to vote for the proposed water and sewer rates, even though I know it’s really challenging, and I don’t want to sit here and pretend that I don’t know that it’s really hard for a lot of residents.”

Alexander MacDougall can be reached at amacdougall@gazettenet.com.

 

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