Dexter Sets Property Tax, Water, and Sewer Rates

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By Doug Marrin, STN Reporter

Dexter residents will not see an increase in their property taxes this next fiscal year.

The Dexter City Council set the fiscal year 2021-22 millage rate and administrative fee at its June 14, 2021, meeting. Dexter’s fiscal year runs from July 1 through June 30 each year.

Before voting, the Council held a public hearing for residents to give their input on the proposed tax rate. With no one from the public wishing to speak, Mayor Keough closed the hearing.

The proposed millage rate for 2021-22 was 15.3062, with a 1% administrative fee covering tax collection. Mayor Keough announced this rate was the same as last year. The Council unanimously approved the resolution setting the tax rate.

Having established the tax rate, the Council is set to consider the City’s budget at its June 28 meeting.

The Council then moved on to a public hearing for the 2021-22 water and sewer rates.

Unlike the millage rate set by resolution, the City Charter requires that Dexter’s utilities be established by ordinance. This year’s ordinance proposed a 3% increase in water rates and a 7% increase in sewer rates. In its meeting packet, the City reports these rate increases are based on a 2019 study.

Proposed changes to current rates were:

Water Rates Current Rates Proposed 3% increase

  • Ready To Serve Monthly Fee from $8.85 to $9.11
  • First Meter Per 1,000 Gallons from $3.99 to $4.11
  • Second Meter Per 1,000 Gallons from $5.39 to $5.55

Sewer Rates Current Rates Proposed 7% increase

  • Ready to Serve Monthly Fee from $9.52 to $10.18
  • Per 1,000 Gallons from $11.70 to $12.52

Mayor Keough opened the public hearing. While no public members spoke, one resident had sent an email to the Council urging them to take another look at the methodology the City uses to charge for wastewater discharge into the sewer system. The email gave a brief overview and explanation of how residents could be overcharged for this service. After the email was read into the record, the public hearing was closed.

The Council unanimously approved the rate increase.

In the meeting packet, the City describes the impact the increase will have on an average household using 10,000 gallons of water per two-month billing cycle.

WATER- 3% Increase

  • Ready to Serve Charge (2 months) from $17.70 to $18.22
  • Commodity Charge 10,000 gallons from $39.90 to $41.10

SEWER- 7% Increase

  • Ready to Serve Charge (2 months) from $19.04 to $20.36
  • Commodity Charge 10,000 gallons from $117.00 to $125.20

Refuse Rates (no change)

Monthly Charge $50.00

Example Total Bill for 2 Month Cycle from $243.64 to $254.88

The estimated overall increase is 5.14%. This does not include commercial surcharges for the removal of pollutants beyond acceptable levels.

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