Navajo tribal utility officials increase rates

Navajo tribal utility officials increase rates
09/18/2005

FARMINGTON, N.M. (AP) -- Navajo Tribal Utility Authority officials have increased service rates and expanded an assistance program for senior citizens.

The NTUA board approved base rate increases for water, wastewater and natural gas services. Customers could be paying about $20 per month more in utility bills.

Kenneth Craig, authority general manager, said this is the first time since 1992 that NTUA has increased its service rates. Officials said the authority has added 34,026 customers since the last rate increase, putting a strain on its systems. The authority provides water, sewer and natural gas services to about 91,000 people.

"We're happy we received the increase," Craig said. "It's not something we like to do, it just has to be done."

The water increase, the largest, will increase bills from about $22.15 to $30.55 by September 2006 for residential customers using an average of 6,000 gallons a month.

A commercial building that averages 65,000 gallons at $251 a month will pay $384 by September 2006. Public buildings using an average of 45,000 gallons at $183 a month will pay about $280 by September 2006.

A component of the rate hike is an expanded assistance program for people age 60 and older who have an annual household income of less than $21,000.

The Senior Citizen/Life Support discount program will offer those who qualify a waiver of all service charges and a 10 percent discount on the total monthly utility bill.

The change in the program was a result of public forums held throughout the Navajo Nation.

In the future, the authority plans to review rates every two to three years so that any increase would be smaller and would not affect all utilities at the same time, Craig said.

The new rates will be included on utility bills processed after Oct. 1.

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