Daly points out in a memo to the Council, “The two main issues were the overall average rate increase of 12% in each of the next three years compared with previous estimates of 7%, and the cost of service reapportionment in the first year which increases the City of Jackson’s wholesale treated water rate by 22%, effective August 1, 2007.” After reviewing the information at a May 14th Council meeting the Council formed an ad hoc committee consisting of Council Members Al Nunes and RosaLee Pryor-Escamilla to hold further meetings with AWA representatives to discuss the increase. Meetings were subsequently held with the ad-hoc committee, City Manger Mike Daly and AWA District 1 Director Heinz Hamaan.

Hamann appeared at the next Jackson City Council meeting to make it clear that he did not support the rate increase with out the agency first looking at how they can decrease spending in the budget so the rates were not so exorbitant. He also invited Jackson citizens and elected officials to attend the budget meeting which was held June 13th. Daly adds in his memo to the Council that staff met with AWA staff and Bob Reed who prepared the Financial Plan to discuss it further and in great detail. From that meeting and further analysis of the report staff was able to develop the City’s share of each category defined in the study. Daly will be presenting that information to the Council and public tonight as well an explanation of what kind of a hit the City’s budget will take if the rate increase is adopted. The City Council meeting begins at 7pm. The AWA will be discussing the rate increase as well on Thursday at 9am.