At Tuesday’s Mat-Su Borough Assembly meeting, Borough Public Works Director Terry Dolan presented the financial analysis of Talkeetna’s sewer and water system, and gave an indication of what the new rates may look like. KTNA’s Phillip Manning has more.
Last year, a grant from the state legislature paid for an assessment of Talkeetna’s sewer and water utility. That report covered the operation and condition of the system as well as the finances. On Tuesday, Mat-Su Borough Public Works Director Terry Dolan presented the fiscal portion of the assessment to the Borough Assembly. The report shows a significant annual gap between revenue and expenditure. Dolan says that does not come as a surprise.
“We knew at the beginning, but they verified that the revenues do not cover the cost of operating the water system. The difference is about $80,000 on the water side of this. And, the study also noted that there are no budgetary provisions for things like major maintenance or renewal and replacement, which are normal functions of a public utility.” (more…)