WATER/SEWER UTILITY BUDGETS PASSED WITH NO INCREASE IN RATES

PLEASANT PRAIRIE ENTERPRISE FUNDS
Pleasant Prairie's water and sewer utilities are operated as "enterprise funds." They are called enterprise funds, because they are operated like a business and are not supported by property tax payments. Instead, these areas receive income from fees charged for services provided and grants. This income is then used to cover operating expenses, large capital purchases or improvements, and to pay down debt for the enterprise.

Pleasant Prairie uses the enterprise fund structure to more fairly distribute the expense associated with the service provided to all who either benefit from or have an impact on the enterprise. If the cost for operating these enterprises was included on your property tax bill, some properties that are the largest users of a service (water, for example) wouldn't pay for the service they receive at all, because they are tax exempt.

WATER AND SEWER UTILITY PROJECTS COMPLETED IN 2015
During 2015, the water and sewer utilities performed sewer main cleaning, hydrant flushing, and valve exercising throughout the Village. The Timber Ridge water tower was repainted and improvements were made at the Sheridan Road pumping station that will allow the Village to better manage water intake from the City of Kenosha. Staff also redesigned and rebuilt a sewer lift station (Hwy H and 71st Street) and completed the fourth year of a sewer main relining project in the Cooper Road basin (a project intended to help control costs by reducing the amount of storm water that enters the sanitary sewer through leaks in older clay sewer mains).

2016 UTILITY BUDGETS PASSED WITH NO RATE INCREASES
On February 15, the Village Board considered and approved the 2016 budgets for the water and sewer utilities. The budgets, as approved, will keep rates for water and sewer services steady during 2016 with no increase in rates.

Pleasant Prairie's water and sewer rates are based on the size of the meter and the volume of water used. Water rates are tiered based on the number of gallons consumed; while sewer rates are calculated with a winter-based average to account for water used on lawns or in yards that will not pass through the sanitary sewer system. Pleasant Prairie posts utility rates (fees) and more detailed utility information here.

WHAT TO EXPECT IN 2016
During 2016, the water utility plans to construct a water distribution main along Sheridan Road and to extend water main from Springbrook Road to Highway 31 in order to better protect the integrity of the water system as the Village continues to develop and grow. Water main will also be extended on Highway H from 116th to 122nd Street. Staff will perform water meter and hydrant maintenance and upgrades; improve pressure-reducing pits; and install a reservoir mixer to help prevent freezing during extreme temperatures.

The sewer utility will continue its work to reduce the amount of inflow and infiltration that leaks into the sanitary sewer system, identifying areas of need over the winter months and repairing these areas during spring, summer and fall in order to lower treatment costs. Staff has constructed a sanitary sewer relief line in order to eliminate the need to rebuild a sewer lift station (Heritage Valley) that has exceeded its useful life, and staff will rebuild the Bentz lift station.

WATER AND SEWER UTILITY DEBT
During 2015, the water utility made its final debt payment and became debt free. At present, the sewer utility is the Village's only utility (others include water, clean water, and sanitation) that is still carrying debt. The sewer utility has approximately $4.3 million in outstanding principal. The debt incurred by the sewer utility is largely related to sewer extension projects completed over the past twelve years.

The Village intends to continue setting aside funds annually to pay down the remaining debt by 2020 and to build reserves for future infrastructure replacement. Moving forward, the Village will work to complete improvements and capital projects without borrowing whenever practical.

To learn more about the 2016 water and sewer utility budgets please click here and read the February 15 Village board e-packet.