As you're all aware, your utility bills have arrived, and we want to address concerns regarding the recent increases in charges. Below you will find detailed information about the changes to utility rates for the City of Essex Junction's enterprise funds, including water, wastewater, sanitation, and stormwater programs for fiscal year 2026.
Explanation of Your Bill:
Your utility bill consists of two primary components: the usage charges for water, wastewater, and sanitation, and fixed rates that support our water, wastewater, sanitation, and stormwater services. These fees are essential for covering operational costs and for funding our capital plan, which aims to proactively manage repairs and replacements in our aging infrastructure.
Reasons for the Increase:
This year, both usage rates and fixed costs have increased due to higher operational expenses and payroll costs. Key factors include:
- Water Fund: Increased cost of water purchased from the Champlain Water District and an anticipated State fee increase, along with adjustments that more accurately align staff salary with where and how time is actually spent. This shifted salary and benefit (or payroll) costs from the general fund to the water fund.
- Wastewater Fund (the wastewater treatment facility): A higher volume of wastewater treated at the facility has led to increased operational costs, including chemical costs. Additionally, we are facing greater maintenance costs due to aging infrastructure.
- Sanitation Fund (the sewer infrastructure that connects properties to the wastewater treatment facility): Similar adjustments to salary and benefit costs, as well as necessary repairs and maintenance to aging infrastructure and pump stations, along with an augmented annual capital fund.
- Stormwater Fund: This marks the transition to a new stormwater utility to more fairly distribute the costs of managing runoff across the City. This shifts some expenses that used to be covered by property taxes to a dedicated line item on your water bill, ensuring that all property parcels, including tax-exempt ones, contribute to funding these essential services required by Federal and State law.
Public Involvement:
While the general fund budget goes to the voters for consideration, the utility rates are set annually by the City Council. However, over the last couple of years, both budgets have been prepared and reviewed with the Council starting in December. This has been done so that both the Council and the community can begin to understand the total financial impact between taxes and utility rates. Additionally, the process for developing the Stormwater Utility involved multiple public hearings and communications over the past year and a half.
In June, the new rates were communicated through your utility bill and the City's website, and the new stormwater fee information was included in the utility bill insert.
For specific questions about your bill, please contact us at 802-878-6944, Option 6, or utility@essexjunction.org.