Cape city utility customers to see higher bills; Cape Council approves new budget

Cape Girardeau city utility customers will see an increase in their monthly bills in the new fiscal year, which starts July 1.

The increases in water and solid-waste fees were approved quickly Monday by the City Council.

Residential and commercial water rates will increase 2%. Disconnect and reconnect fees charged by the city will increase by 50 cents to $16.50.

The monthly residential solid-waste fee will rise to $21.60, an increase of 85 cents, according to an agenda report to the council.

In addition, the fee at the city’s transfer station will climb from $62 a ton to $64.50 per ton.

During the past seven years, counting the increase for fiscal 2020, the average residential, monthly city utility bill has increased from $73.84 to $81.50, deputy finance director Victor Brownlees wrote in a report to the council.

Residents have seen an average annual increase of 1.48%, which is less than average annual inflation, he added.

The increased utility fees will allow the city to meet its financial requirements for bonds previously issued for water and sewer projects and support operating needs of sewer, water and trash services, Brownlees wrote.

Council members did not comment on the higher utility fees, which are among several fee increases contained in the city’s fiscal 2020 budget.

The budget, which was unanimously approved by the council Monday, also has increases in recreation fees.

The $71.98 million operating budget for the city includes a 2% pay raise for city employees.

Ward 4 Councilman Robbie Guard said it was “very important” to include pay raises in the new fiscal year budget. Employees received no pay raise in the current fiscal year ending June 30.

City manager Scott Meyer told the council the new budget is “balanced.”

Meyer and city finance director John Richbourg, however, recently said city government expenses are exceeding revenue. City officials plan to cover expenses by dipping into the city’s unreserved fund balance.

But going forward, city staff will look at making changes to operations, including possibly cutting services, Meyer said late last month.

Guard told city staff at the council meeting he understands “a lot of things” will be on the table in regards to city finances.

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