The city of Kent’s got a messy problem with no clear answers.
City officials need to figure out how to pay for millions of dollars of sewer and water system repairs and replacements.
Kent needs to spend about $5 million per year to upgrade its sewer system and approximately $6 million for water projects, according to a City Public Works Department staff presentation on Feb. 16 at a City Council workshop.
The city brings in about $1 million per year for sewer capital projects and $3 million for water projects, leaving shortfalls of $4 million for sewer and $3 million for water.
City staff plans to present proposals for the council in the next month or two about how to help pay for the capital projects, which include replacement of sewer pump stations, sewer lines, water mains and other upgrades. Raising customer rates, of course, looms as one potential solution.
But council members already shared concerns about raising rates because the city uses an internal utility tax on the sewer and water funds to transfer money to the general fund to pay for a variety of programs and services.
“You are taking money from an enterprise fund to support the general fund and the enterprise fund is supported by ratepayers,” Councilwoman Dana Ralph said at the workshop. “So we are telling ratepayers we need to raise the rates to take care of things you are paying your rates for, but a significant amount of the money goes to the general fund to support a variety of programs.”
About $3.5 million of sewer revenue and $2.5 million of water revenue goes to the general fund each year, according to city staff.
“It’s really hard for me to say to water and sewer customers we need to raise your rates to pay for infrastructure when we are not spending a very large portion of what they are currently paying to pay for infrastructure,” Ralph said.
Single-family residents pay a monthly sewer fee of $61.46, with $42.03 going to the King County wastewater treatment fund and $19.43 to the city sewer fund. About 13 percent of the revenue goes to the city general fund. Single-family residents pay $37.25 per month for water.
“I’m on the council and I’m still not sure where that money goes and that makes me nervous, especially when we are talking about raising rates,” said Councilman Jim Berrios, who added he shared Ralph’s concerns about so much money from water and sewer funds going to the general fund.
If the council reduces the amount of sewer and water monies going to the general fund, it would need to determine where to cut the general fund.
City staff told the council if sewer rates were raised 15 percent the cost would jump to $64.37 per month, which would put Kent’s rate higher than Soos Creek Water & Sewer and the city of Newcastle, but lower than the cities of Auburn, Renton and Tukwila.
The higher rate would bring in another $1 million per year for capital projects.
Not all Kent residents receive water and sewer service from the city.
Soos Creek Water & Sewer, the Midway Sewer District and the Highline Water District are other providers.
Tim LaPorte, city public works director, said it costs $2 million to $3 million to replace a sewer pump station.
Kent has eight pump stations. Three of the pump stations need to be replaced. Pump stations usually last 25 to 30 years, he said.
The pump stations send the sewage into the King County line that treats sewage at a Renton treatment facility before it goes into the Puget Sound.
“If they fail, we have poop all over the place and an ecological disaster,” LaPorte said.
The city has 211 miles of sewer pipe. About 70 miles of that pipe is more than 40 years old and needs to be replaced, LaPorte said.
It would cost about $3.5 million to replace the 40 miles of pipe.
The city also needs to spend about $2.5 million on water main replacements; $2 million on reservoirs; $1 million on hydrants, meters and vaults; and $500,000 on other system plans and conservation costs.
“I’m sure there will be more data coming forward and we will be looking at ways to rectify the problem,” Council President Bill Boyce said.
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