The City of McGehee’s Water and Sewer Department is planning to ask for a rate increase to upgrade the city’s system.
According to the McGehee Dermott Times-News, if approved, customers’ bills will increase from $16.48 to $21.50 for the first 2,000 gallons of water with an additional $4.10 for every 1,000 gallons over $2,000.
The rate increase, if approved, will bring the city closer to being in compliance with legislation requiring cities to do a rate study every five years and cities must keep water and sewer rates at 1.5 to 2% of median household income.
McGehee’s current rate is 0.84%, well below what is necessary to qualify for grants and low-interest loans to help cover costs associated with making improvements to the system.
