Algood citizens will see water and sewer rates increase this year.
The rate increase is part of a five-year plan for the city.
Mayor Lisa Chapman-Fowler said the 12-percent water rate increase will keep utilities out of the red.
“I think as we have discussed before, you understand that Cookeville, which we buy our water from,” Fowler said. “They have raised their rates so in turn, we cannot operate the water portion of the city at a disadvantage or we can’t take a loss or a deficit in that category.”
A 12-percent increase will bring the minimum water bill to $9.98 inside the city and $13.19 outside of the city. Sewer rates will increase by $1.34.
Fowler said the increase plan will ultimately help the city maintain utilities.
“I hope everyone understands that this is not something that we just wanted to do, we have to do it,” Fowler said. “So, because we are not allowed to operate at a deficit.”
The Algood City Council passed the second and final reading of the rate increase plan Tuesday. The new rates take effect on July 1.