
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, May 20, 1994                   TAG: 9405200044
SECTION: CURRENT                    PAGE: NRV-2   EDITION: NEW RIVER VALLEY 
SOURCE: By RICK LINDQUIST STAFF WRITER
DATELINE: RADFORD                                 LENGTH: Medium

RADFORD TO LOOK AT UTILITY RATE INCREASES|

The average monthly residential water bill could go up by almost $3 - or about 42 percent - while the sewer bill in the same household would rise by $1.80 under revised rate schedules that City Council will consider Monday.

Water and sewer director Jettie Montgomery has proposed that council raise the minimum monthly water bill from $3.50 to $4.40. The cost of each additional 1,000 gallons, up to 100,000 gallons, would increase from $1.16 to $1.85. He said the additional revenues are needed to cover current costs of operating and maintaining the city's water and sewer systems.

"It's a bargain," Montgomery said Thursday. "Radford still will have the second lowest water rates in the New River Valley." Only Christiansburg's are lower, he said.

"We've had zero percent increase in six years and a decline in the sale of water," he said. Ten years ago, the city sold 880 million gallons of water each month. Last year, the figure had dropped to 740 million. Montgomery attributed the decline to a drop in usage by local manufacturers, who have put process water recycling systems in place. New River Castings is the city's biggest single water customer. The foundry uses 259 million gallons of water each month. Radford University sops up another 59.2 million gallons a month.

Montgomery, who discussed the rate increases with City Council earlier this month, thinks members will be receptive to the new rate schedules. But, he conceded that public reaction might be another matter altogether.

"There's probably going to be some negative comments I'll have to address," he said.

Even so, Montgomery said he believes most people are willing to pay more for quality water. "They don't have the same enthusiasm for sewer," he said, adding that the city will see only 20 cents of the sewer rate increase. The rest, he said, goes for debt service and to the Peppers Ferry Wastewater Treatment Authority.

Monday night, council also will consider several other items, including:

a request to adjust the current school budget.

approving bond financing by the Radford Industrial Development Authority for RADVA Corporation.

first reading of an ordinance to raise the income limit for tax relief for the elderly and disabled from $13,000 to $13,500.

purchasing a new computer and printer for the magistrate's office.

The regular City Council meeting begins at 7:30 p.m. Monday in council chambers.

by CNB