Ypsilanti residents likely will soon see an increase on their bi-monthly water and sewer bills.

The Ypsilanti City Council on Tuesday unanimously approved a 7-percent water increase and a 3.5-percent sewer increase. Council also approved a 3-percent decrease in the bill’s surcharge, which goes toward paying down debt service for new water and sewer mains installed from 2000 to 2005.

Ypsilanti Community Utility Authority Director Larry Thomas said that would amount to a $1.16 per month increase for a minimum water user and $2.25 per month for an average household.

The water rate jump is a direct result of the Detroit Water and Sewer Department, the agency from which the YCUA buys its water, passing on a 9.2 percent increase.

Thomas previously said the YCUA was able to pass on a smaller increase because it found new efficiencies within their operation. Annual rate increases the Detroit department passes on to customers are typically the result of the need to fund capital projects to maintain and improve its system.

Last year, the Detroit department passed on an 18.6 percent increase, which resulted in a 12 percent increase for YCUA customers, who live in Ypsilanti, Ypsilanti Township, York Township, Augusta Township and Pittsfield Township. A large portion of that increase was attributed to the area's decline in industrial water use.

Responding to a question from Council Member Mike Bodary about the agency’s relationship with DWSD and concerns about area customers footing the bill for corruption and inefficiencies in the city’s department, Thomas said the YCUA doesn’t pay for the cost of maintaining Detroit’s infrastructure.

“We pay for costs of supporting the suburban system, and it’s old,” he said. “Water mains are out of sight and out of mind, and people don’t like to think about them, but they do need to be replaced.”

He said new suburban commissioners have been recently installed on the DWSD board and he expects that will help improve the entire operation and relationship with the YCUA.

“We have made much progress in working with Detroit and suburban communities,” he said.

The 3.5-percent sewer rate increase is the first increase since 2008. Thomas said the rising cost of natural gas and electricity, along with growing contributions to employees’ post-employment trust fund, required an increase.

“The authority has managed finances well since the economic downturn, we reduced expenses and cut staff, but pressures from increasing costs, especially for electricity, as well as declining volume made it necessary,” he said.

Ypsilanti's sewage sales have dropped by 23-percent and water sales by 10-percent in recent years.

For a home that sees a monthly bill of $46.68, about $16 of that goes to pay off debt for the capital improvements made between 2000 and 2005.

“It is a costly proposition to replace 72 miles of mains, and the surcharge is going to paying debt on those improvements,” Thomas said.

The city’s water rates are higher than many those of neighboring communities because of the capital improvements, though Thomas noted that almost every neighboring community is also in the process of passing rate increases.

A resident using five units of water and sewer in Ypsilanti will pay $48.23 under the proposed increase. A resident in Ypsilanti Township using the same amount of water would pay $31.42, and a resident in Romulus pays the lowest at approximately $25.

Residents in the City of Ann Arbor pay $32.94, while a resident in Superior Township that is supplied by the Ann Arbor system instead of the YCUA pays $59.90. A Superior Township resident in the YCUA system pays $32.72.

Ypsilanti Township's Board of Trustees recently approved rate increases for its residents.