Oxford Sewer Authority raises rates by 4%

LOWER OXFORD >> The Oxford Sewer Authority has set a four percent rate increase across the board for all users.

Rate payers will see the increase in their bills in January, with a new base rate minimum of $81.12 per quarter in zone 1, and $83.82 in zone 2. In zone 1 (most of Oxford Borough) the fee will be $16.22 per 1,000 gallons used after the first 1,000 gallons used in that quarter. Zone 2 rates will be $16.78 per 1,000 gallons after the first 1,000 gallons. Rate payers in Lincoln Village will pay a flat rate of $148.71 per quarter.

The Authority is also catching up on other charges that sewer providers generally charge, but Oxford has not pursued before this time. When ownership of a property is transferred, there is usually a meter reading and request for documentation of any pending fees. There will now be a $25 fee for each certification request.

The Authority is also planning to enforce surcharges for commercial/industrial waste that exceeds treatment standards for solids, grease or other materials that increase the cost of processing the waste. A list of standards and fees is a part of the Authority’s policy, and violations have been noticed, but they have not been enforced,

Grease trap ordinances were also discussed, along with ways to let system users know how damaging it can be to pour waste or solids down the drain.

During their Oct. 16 Authority board meeting, director David Busch noted that because the Authority was planning on selling the sewer system, some items had not been pursued fully.

The Board has, from the start, taken the position that they would only sell to another Authority, rather than a for-profit firm, in the interest of rate payers. A pending sale to Delcora, another municipal authority, has been taken off the table because for profit Aqua is pursuing the purchase of Delcora.

Without the potential sale, the Oxford Area Sewer Authority’s past due debt of $1.2 million to USDA becomes a more pressing issue. Busch explained that he recently had discussions indicating that it is possible for USDA to move the overdue amount to the end of their loan instead of demanding that it be caught up now.

The Authority is making all of it’s scheduled payments, but without the sale they do not have the extra funds to catch up with the payments that were missed about three years ago.

One condition of the restructuring of the USDA loan, originally totaling $27 million, is that the Authority show its seriousness about repaying its debt. A balanced budget that shows the loan payments, and a rate increase are two ways that the Authority is demonstrating its commitment.