Water, sewer rates on council agenda; City also to consider imposing sales tax on residential electric, sewer customers
Posted on 6/26/2018 7:12:00 AM.
(Seguin) -- The Seguin City Council on Tuesday is set to discuss the city's water and wastewater rates for next year. The city has been working on a multi-year plan to get water and sewer services to fully pay for themselves. Rate increases have been built into the plan. This year's rate was expected to go up five percent, but because of additional water sales outside the city, the proposed rate increase would only be two percent for the new fiscal year.

Another utility expense, that will impact local residential customers, is also on the agenda. The council will consider allowing a sales tax to be charged to residential gas and electric users in the city. An old state law allows the sales tax to be imposed on city residents, and staffers say many cities have already chosen to apply the sales tax. This is a tax that would only be applied to residential accounts, commercial and industrial are already being charged a sales tax, and have been for years. Based on the 1.5 percent sales tax allocation for gas and electric services, staffers say the average customer will pay an extra $2.75 per month. Staff also stated in a memo to the council that several cities in the area currently impose a sales tax on these services, including the cities of San Marcos, Schertz, New Braunfels, Luling and Lockhart. Again, commercial and industrial customers are already paying this tax.

In other business, The city of Seguin will take another stab at reaching an ageement with the Seguin ISD for its use of city owned facilities, like the Starcke Park Golf Course, Smokey Joe Williams Field and the Pecan Bottom in Max Starcke Park East. The city thought that it had the agreement sewn up earlier this year, but when it was presented to the Seguin ISD Board of Trustees for approval, one school board member questioned some of the fees that were being charged. Parks and Recreation Director Jack Jones defended the agreement at the time, and shared that district staff had agreed that the fees were fair. After a lengthy discussion, the school board declined to act on the agreement and it went back to the drawing board. Jones says the fees largely will stay the same, but the biggest change might be that this agreement will go from a three-year deal to just a single-year contract.

The council meets at 5:30 p.m. Tuesday at Seguin City Hall Council Chambers.
city of Seguin; Seguin City Council

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