BENTON, Arkansas — In a few short months, customers will be seeing an increase on their utility bills.
Last week, the city council approved the hikes after the utility company said they were necessary to operate.
Now, there's a new general manager of the company who will oversee the adjustments.
Todd Pedersen took the position this month. He has looked at the numbers and told us just how much in the red the company was.
"We were seeing six-figure losses every month," said Pedersen.
Not only was the company seeing costs of their purchasing increase significantly, but there are also some improvements that need to be done to stay up to code.
"The water treatment plant is doing some major projects to getting the facility back up to operating as it should," said Pedersen.
With this in mind, it was inevitable that there would be a rate increase passed onto the customers.
After several months of debating how much, the city council and utility commission came to an agreement to increase the rates over a three-year period.
Right now, an average customer has a combined bill of electric, water, and wastewater at $157.
Later this year, that bill will go up about $15, bringing the total to $172.
That's not all either. Next year, that bill will increase by another $15 to almost $188.
Lastly in 2025, customers will pay about $200 total.
"We are not breaking even for this year. We are actually going to be in the red with the capital projects we have planned," said Pedersen. "Then, we are barely going to be breaking even next year. Then, in 2025 we will be making a little bit of a profit."
Customers will see the new increased bill starting on May 1st.
For those living outside the city limits and using Benton utilities, you will have an additional charge on your bill for the use of electric, water, and sewage.