Hutto City Council approved a contract to conduct a utility rate study at its Feb. 20 meeting. The city last reviewed water and wastewater rates in November 2021.
The details
Hutto requested a comprehensive water and wastewater rate study in December to independently assess the existing rates and provide recommendations for all customers.
“The intent of that study is to help shape what increases may impact different customer classes,” Hutto Public Works Director Rick Coronado said. “That will provide us with financing for the future and budgeting purposes. That way those projects that are still in play can continue to be financed through the future.”
City Council approved a three-year contact with Wildan Financial Services for $108,420.
Some context
The city of Hutto is one of the water and wastewater service providers in the city. One reason for rate increases has been city-led infrastructure projects like the South Wastewater Treatment Plant expansion, which began in August and will increase capacity from 2.5 MGD to 6 MGD.
Hutto also took over ownership and operations of the Jonah wastewater collection system in 2018. Last March, the city increased rates for Jonah customers to equalize all city-managed wastewater charges.
The additional revenue partially helps fund the wastewater treatment plant expansion.
What else?
The fiscal year 2024-25 budget included $52,500 for a water and wastewater rate study as a part of the utility fund. With council approval, the city will use $38,420 of the allocated money for the first year of the contract.