Laconia households are bracing for a significant increase in their annual water bills following preliminary approval of new rate adjustments by the city’s board of water commissioners. This decision, aimed at addressing rising operational expenses and vital infrastructure upgrades, marks a crucial moment for local residents grappling with the escalating cost of essential public utilities.
The proposed changes include a 15% increase in the base rate, elevating it from $25 to $28.75 per unit per quarter, coupled with a 10% rise in the consumption rate, moving from $2.55 to $2.81 per hundred cubic feet. For the average single-family home, this translates to an estimated annual increase of $41, pushing the average bill from $355 to $396. If finalized, these new rates are slated to take effect on January 1, 2026.
Laconia Water Works Superintendent Ben Crawford presented various revenue-increasing options to the commission, underscoring the necessity of these adjustments. The department asserts that the increase is vital due to steadily rising operational and maintenance costs, alongside anticipated considerable infrastructure spending in the near future. Maintaining a robust water system requires continuous investment.
A critical step in this process involves a public hearing, scheduled for 6 p.m. on Tuesday, August 12, at City Hall downtown. This public forum provides residents with an opportunity to voice their concerns and questions regarding the proposed rate hikes. Following the hearing, commissioners will consider a final vote to confirm the higher rates, emphasizing transparency in municipal finance decisions.
Despite the commission’s consensus, one dissenting vote was cast by Robert Soucy, a member of the commission and Ward 2 city councilor. Soucy expressed his belief that a rate increase was unnecessary, pointing to the water department’s substantial cash reserves. He argued that these funds should be utilized more effectively before imposing additional burdens on consumers through increased utility bills.
Water department staff meticulously track expenses and revenues, projecting financial needs two years into the future. Superintendent Crawford indicated that without the rate increase, the department could face a potential deficit within two years, highlighting a proactive approach to financial stability. Commissioners aim for smaller, incremental increases spaced approximately three years apart, a strategy last employed three years prior, to prevent larger, abrupt hikes.
Major expenditure categories include salaries, which represent a significant line item, alongside the costs associated with treating water and maintaining vital components such as meters, backflows, and mains. The cost of installing new water mains, for instance, is substantial, ranging from $150 to $175 per foot for an 8-inch main installed in-house, exclusive of related civil works like asphalt. These investments are critical for modern public utilities.
Looking ahead, the anticipated development of the State School property, which could introduce over 2,000 housing units to the city’s north end, is expected to eventually impact the water department’s finances. While Superintendent Crawford doesn’t foresee an immediate serious impact, this long-term growth will undoubtedly influence future water rates and service demands, a key aspect of Laconia news and planning.
