Close Menu
Invest Insider News
    Facebook X (Twitter) Instagram
    Wednesday, July 1
    Facebook X (Twitter) Instagram Pinterest Vimeo
    Invest Insider News
    • Home
    • Bitcoin
    • Commodities
    • Finance
    • Investing
    • Property
    • Stock Market
    • Utilities
    Invest Insider News
    Home»Utilities»Rate increases considered
    Utilities

    Rate increases considered

    August 20, 20245 Mins Read


    Orangeburg’s Department of Public Utilities is proposing several options for raising its rates, or not, as part of its 2024-2025 fiscal year budget.

    Orangeburg City Council gave first reading last week to DPU’s budget but did not decide what to do about the department’s rates.


    Orangeburg County Council: Voters asked to renew sales tax; 132 projects could be funded

    Instead, council will spend more time looking at the options. Council also wants to study how the proposed new rates will compare to other utilities around the state.

    Councilman Richard Stroman abstained from the first reading of the budget.

    DPU Manager Warren Harley presented Orangeburg City Council with four rate options. Three include a rate increase.


    Bamberg, Calhoun, Orangeburg projected to lose thousands of residents

    “We propose a rate increase that would support and continue our capital improvement plan,” Harley said.

    People are also reading…

    The proposed rate options:

    • Option 1: Increase water and wastewater rates only.

    The proposal would generate $2.9 million for the utility.

    • Option 2: Across-the-board increases on water, wastewater, electricity and natural gas. The option would generate $7 million for the utility.

    “I know council may grow weary of the alternating back and forth on the increases,” Harley said. “Option 2 was an effort to provide council and the customers of the city a break because if we did option two, we wouldn’t have to revisit this for another several years. We wouldn’t need to bring it back up until around 2028.”

    “If you do it upfront, it is a little cheaper than spreading it out over time,” Harley said.

    Under option 2, inside city residents would see a 7.1 percent increase, or $18.46 on average on their total bill

    Outside city residents under this option would see a 9.7 percent increase, or $29.22 a month.

    • Option 3: This option would be a hybrid of option 1 and option 2, where the water and wastewater rate increase in option 2 would be lowered and replaced with the option 1 water and wastewater rate increase.

    • Option 4: Leave rates the same.


    Get TheTandD.com for $1

    Councilwoman Sandra Knotts asked Harley how regulations impact the utility and its customers. Harley said in general regulations cause the utility’s costs to go up. The increases are either passed onto the customer or absorbed by the utility.

    “If you look at the current year’s budget, the water and wastewater rates are not covering the cost that we see,” Harley said. “We are losing money.”

    Stroman noted that it is not uncommon in business to make money on some services and lose money on others.

    “I just can’t go along with a rate increase right now,” Stroman said. “I am sorry. People are having a hard time paying the bill now. Maybe another year we will look at.”

    Councilman Dr. Kalu Kalu said the most viable option was option 2.

    “We have to bear in mind this is just the first reading that we are undertaking,” he said. “We need to pass first reading and then take the time to absorb the numbers within ourselves to see clearly where we are coming from. Whether we want to increase the rate or not. This is not the time for us to increase or not to increase. This is a time to analyze.”

    Mayor Michael Butler said, “We just can’t hear something and say, ‘rate increase’ and just shut it down. We do have to analyze it and see what the numbers really look like.”

    “I don’t like to hear rate increases, but we also have to look at the fact that we are custodians over DPU and the progress of DPU,” Butler said. “We have to look at the fact that you all have to move that company.”

    “When we look at the budget, we look at the budget for the citizens and we look at the budget for the company which we are the board of directors for,” Butler said.

    Councilman Jerry Hannah said doing nothing is not an option as the more rate increases are delayed, the greater likelihood that future rate increases will have to be greater to offset those years when an increase did not occur.

    “That can can’t continue to get kicked down the road,” Hannah said.

    Councilwoman Annette Dees Grevious asked how DPU’s rates compare to other providers.

    Harley said if approved, the rate increases would put the city in front of Rock Hill but still less expensive than Greenville, Columbia, Aiken, Sumter, Lexington, Charleston, Camden and Dorchester County.

    Overall budget

    Harley said the budget does not include an increase in positions or a cost-of-living increase. It does include performance-based merit pay for employees.

    The driver of expenses are an increase in system repairs, inflation and state mandates for the state’s retirement system, he said.

    The utility proposes spending about $44 million for capital projects.

    “The electric division and the water division will see the lion’s share of that money,” Harley said.

    He said the water department will spend about $34.2 million on projects and the electric department about $12.4 million.

    Harley said the budget also calls for the transfer of $6.1 million to the city, which is unchanged from the current fiscal year. That would leave the utility with a net profit at the end of the year of $14.1 million.

    In addition to giving first reading to DPU’s 2024-2025 fiscal year budget, council gave unanimous first reading to changes to the 2023-2024 DPU budget.

    “Over the year our numbers change,” Harley said.

    The utility’s revenues exceeded its expenses for the current fiscal year by $14.5 million, though the numbers could change before third and final reading.

    After a $6.1 million transfer from the utility to the city’s general fund budget, the utility will see a profit of about $8.4 million for the current fiscal year.

    Contact the writer: gzaleski@timesanddemocrat.com or 803-533-5551. Check out Zaleski on Twitter at @ZaleskiTD.

    Get Government & Politics updates in your inbox!

    Stay up-to-date on the latest in local and national government and political topics with our newsletter.



    Source link

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    Previous Article$1,000,000 BTC in 2027? Analyst Says Bitcoin Could Be Mirroring Japanese Stock Market’s Early Years
    Next Article Bitcoin Tops $61,000 as Volatility Hovers Near Yearly High

    Related Posts

    Utilities

    Global utilities unite to tackle grid supply chain challenges

    June 26, 2026
    Utilities

    Global utilities unite to tackle clean energy supply chain bottlenecks

    June 23, 2026
    Utilities

    A Modernized Power Grid: Why A New Approach To Utilities Planning Is Key

    June 18, 2026
    Leave A Reply Cancel Reply

    Top Posts

    How is the UK Commercial Property Market Performing?

    December 31, 2000

    How much are they in different states across the US?

    December 31, 2000

    A Guide To Becoming A Property Developer

    December 31, 2000
    Stay In Touch
    • Facebook
    • YouTube
    • TikTok
    • WhatsApp
    • Twitter
    • Instagram
    Latest Reviews
    Commodities

    Bitcoin, gold, or stocks? Senior commodity strategist weighs in on the battle

    July 26, 2024
    Bitcoin

    Strategy Buys $109M in Bitcoin as Corporate BTC Treasuries Expand in 2025

    December 29, 2025
    Bitcoin

    Venezuela’s Rumoured $60B Bitcoin Hoard: What BTC Investors Need to Know

    January 8, 2026
    What's Hot

    Fed Decision Day: Pause Expected With Powell’s Tone in Focus

    January 28, 2026

    Sovereign Bitcoin Holdings Linked to Bhutan Continue Declining Amid Structured Sell-Off

    June 6, 2026

    Norfund et Cygnum Capital décaissent 40 millions $ pour l’alimentation énergétique des télécoms au Mali

    April 26, 2025
    Most Popular

    What £1,000,000 buys across the UK — from city apartments to seaside escapes

    October 26, 2025

    Stock Market Crash Highlights:Sensex falls 1,547 pts,Nifty 50 below 24,900 as Budget proposal of STT hike spooks traders

    February 1, 2026

    Fusion21 invites bids for £350m responsive repairs and void property framework

    May 12, 2026
    Editor's Picks

    Stock market crash: Nikkei, Kospi, Hang Seng slide up to 2% after Wall Street sell-off

    November 6, 2025

    China’s economy hit growth target last year despite Trump trade war and property crisis | Chinese economy

    January 19, 2026

    Stock market today: A washout on Wall Street sends stocks, big to small, lower

    July 18, 2024
    Facebook X (Twitter) Instagram Pinterest Vimeo
    • Get In Touch
    • Privacy Policy
    • Terms and Conditions
    © 2026 Invest Insider News

    Type above and press Enter to search. Press Esc to cancel.