Milford Center’s 2018 annual report has been published.
The report, compiled by Village Operator of Records James House, shows how much money the village spent on street repairs, the water and sewer systems and other assets. It highlights how the village could save money in certain categories and what repairs or upgrades need to be made, specifically the water and sewer services.
Village council member Ron Payne said this report showcases what the council will discuss in the coming months.
“(House) has got stuff in here that we’ve never talked about,” Payne said. “That’s what interested me because he really gave us some information we did not have that’s going to be talked about.”
Payne said one of the highlights of the report is how the village can pay for water and sewer repairs and how it charges residents for those services.
He said when the water and sewer line were installed around 20 years ago, the village was told by the system’s engineer that it would have to assess a fee increase each year on residents in order to recuperate its operation expenses.
However, according to the report, the village didn’t raise fees since 2016, and the village has “lost out” on extra funds it could use to repair the system.
“Has it suffered? Yes, in the sense that we have not taken advantage of the income we could have had,” Payne said. “If we have shorted ourselves on the income, then that comes to reason, that we spent money we didn’t have. We’re going to have to look at that in terms of recommended sewage increases.”
The report indicates the village’s water operating fund made $127,613.17 in revenue in 2018, slightly higher than what the forecast predicted, and incurred $177,202.51 in expenses. The sewer operating fund made $230,799.94 in revenue in 2018, lower than what the forecast predicted, and incurred $250,259.95 in expenses.
Both funds comprised more than half of the village’s total revenue in 2018, but were more than 63 percent of the village’s expenses.
House proposes in the report that the village could save money to make “major repairs and improvements” on storm sewer repairs if it imposed an increasing rate on residents.
In his examples, he lists the village could make an extra $4,200 to $12,600 per year if it charged each resident, about 365 people, a flat rate of $1 to $3 per month. Payne said the village could potentially make enough money to save for costs and repairs if it did charge a flat rate of at least $2.
Payne said currently, residents do not pay a fee for stormwater services,
“The compromise is we keep the raise as low as we can,” he said. “A raise is going to be necessary because none of us want to see rates increase, and will try to keep them as low as possible.”
He said if a proposal were to be made about increasing rates, an argument that could potentially oppose it would be that Milford Center residents on fixed incomes or are retired wouldn’t be able to afford it.
In a December meeting, a budget for 2019 was voted down because it included a three percent increase in fees for water and sewer services. It was believed by some village council members the fees would simply go straight to Marysville for sewage handling, and turned to opposing the increase.
Payne said the village is already pursuing solutions to generating the funds for repairs.
He said one of the solutions, though “not a recommendation, but it’s a real need for infrastructure,” involves applying for grants, but the village doesn’t have anyone who could write them.
“One of the issues is we don’t have a grant writer,” Payne said. “We need to find someone who can help us with that once we decide what we want granted.”
He also said the village is looking to amend its old ordinance on collecting delinquent water payments by enacting a study on new billing practices and rates. He said the village wants it to be possible where the debtor can arrange payment plans with the administration. He said that could possibly be looked at during “the next quarter.”