Students looking for places to live off campus next semester should keep in mind that sewer and trash rates are expected to rise.
Tim Woody, director of environmental services in Auburn, said the increase in rates will only affect students living in duplexes and rental houses, as these services are contracted by the city.
Trash services for apartments are contracted by private companies, so residents of those areas will see no change in their rent.
The reason for the increase is because of a number of economic factors, including the rise of expenditures, the breakdown of equipment and lack of revenue to cover expenditures.
Currently, Auburn subsidizes between $619,000-650,000 per year for trash services.
Woody said the rate increase will cut the current subsidization in half to $350,000. Even with the cut, trash services will still depend on subsidies.
The rate increase will allow other cost portions, currently paid by the general fund, to be allocated to the solid waste management fund.
The cost portions include workers' compensation, fleet service and general management costs.
Difficulties with outdated equipment are another cost allocation the rate increases are expected to address.
According to Woody, 14 of the 26 trash collection vehicles are in need of repairs that will cost more than the machines themselves.
The rate increase, Woody said, will create a reserve fund for the swift replacement of equipment.
The Auburn City Council voted on the issue June 7,and the entire Council, except Brent Beard, agreed to increase the rates.
The Council's overall mission is to reduce the general fund.
Currently, trash service equipment is being bought at a rate of $250,000.
Fuel costs have doubled since the last rate increase in 2004.
"I understand that fees need to increase somewhat to keep the fund self-sufficient, but things (that the current fund is paying for) like recycling cost well over 300 grand. My thinking is that picking up people's recycling at their houses is an extreme luxury."
Beard said the city could still offer the recycling services, but fees would have to be paid in addition to the garbage fee.
"It could be like the backside garbage collection service, it's a little extra, about ten dollars more per month," Beard said.
Laura Koon, director of Water Resource Management, said the trash fund is relatively new, and that Auburn is trying to make this new fund self-sufficient.
The new rates will balance out the revenue loss from the general fund. The total amount of money for the general fund for the 2011 fiscal year is currently $54.5 million.
"The sewer fund is currently self-sustaining and sewer requirements (sewer operations and capital improvement) are met through the collection of sewer rates and charges.
"The sewer fund is not subsidized by the general fund," Koon said.
According to figures provided by Woody, the sewer rate will increase 32 cents for every 1,000 gallons of water with annual increases implemented through 2013.
Trash rates are expected to increase $3 for curb-side services and $3.50 for back-door services.
Additional rate hikes are expected to increase by $3 for curb-side services and $3.50 more for back-door services, which are expected to be implemented in 2014.
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