Urbanna proposing 10% water rate hike

The Urbanna Town Council is considering raising water rates for in-town customers by 10% starting July 1.

The Town of Urbanna water is the cheapest of any of the three providers in Middlesex County. “After this water rate increase the town’s water rates will still be lower than the MWA (Middlesex Water Authority), and according to the most recent Draper Aden report, lower than municipal water rates of comparably sized communities,” said Urbanna Mayor Bill Goldsmith.

But low water rates can be a problem when seeking grants or low interest loans, he added. “Certain low interest loans and grants are not available to us because our rates are too low and our MHI (Median Household Income) is too high.”

Water rates for out-of-town customers would not be increased under the proposal, because granting and loaning agencies limit out-of-town rates to be no more than 1.5 times than the in-town rate, said Goldsmith. So, council is gradually narrowing the gap with the recent budgets.