Residents of Salem Township served by the municipal sewer system have seen their rates hiked $7 a month.
The township's municipal authority on Monday approved the increase, which will result in a jump to $32 from the current $25 a month rate for each equivalent dwelling unit. Nonresidential units will be increased $1.83 per thousand gallons each month. That kicks those rates from $3.07 to $4.90 per thousand gallons.
The increase for residential dwelling units includes a $5 hike that STMA assumed from the Franklin Township Municipal Sanitary Authority, which treats Salem sewage. There also is a $2 increase the Salem Township authority is applying to cover losses on interest revenues.
The hike, which became effective Jan. 1, was approved with four yes votes from the five board members in attendance yesterday. STMA Vice Chairman Mike Peretto abstained because of commercial interests in the township.
STMA Chairman Robert Sekora said last week the rate increase would bring $93,000 in revenues to STMA.
FTMSA Chairman Jim Brucker explained that many Salem Township customers already have received a bill containing a $10 increase, which was the originally anticipated hike. He said that the overcharge will be adjusted in the February billing.
STMA also approved its 2003 budget yesterday by a 5-0 vote.
The 2003 spending plan shows total revenues of $372,700, expenditures of $372,485 and a balance of $214.60. The budget does not include the $375,000 reserve fund to cover capital needs.
The largest expenditure on the budget is $11,750 for FTMSA labor. Sewer rental fees are expected to generate the largest revenue — $341,500.
Peretto expressed concern that the budgeted expenses for engineering and legal fees were "way too light." For example, $2,500 is budgeted for legal fees. The projected legal costs for 2002 are $62,573,52. Brucker and Sekora explained that legal costs will be covered by tap-in fees paid to STMA that will go into the authority's reserve fund.
STMA originally planned to approve the budget, rate hike and awarding of a project bid Dec. 30, but couldn't because it lacked a quorum.
The STMA board also approved the following motions yesterday:
Other board members said they felt that since the authority was a corporation that its business meetings should be held during business hours. They also said there could be certain public meetings held in the evening.
