Westlake officials got an earful Monday as residents spoke out against the city’s move to raise utility rates by 50 percent to balance the budget.

More than 60 residents packed the council’s meeting room to protest the increases, which they deemed to be a public bailout for the city.

“This problem didn’t start over night,” said John Peshoff of Elizabeth Street. “This has been going on for a long time. We’ve bought too many castles. Our golf course is growing weeds out there. We’ve misused some money. Now they want us to take up the bill. Say no to this!”

At a special meeting Jan. 5, Westlake officials announced they would have to raise all water, gas and sewer rates by 50 percent to bring in much-needed revenue for the city.

Mayor Bob Hardey said the increases will affect residents in Westlake, North Westlake and Moss Bluff, all of whom will see a $40 to $60 increase in their monthly utility bills this year. Annually, the rate increases could cost those residents between $480 and $720.

The rate increases, which are expected to take effect today, are estimated to bring in $200,000 a month in revenues. Hardey said beginning in 2016, residents can expect a 4 percent annual increase in their utility rates.

The city’s water and sewer funds this year are projected to come in at a $97,741 loss. Westlake’s gas fund, however, is projected to have a $341,000 surplus.

Westlake’s general fund for 2015 is projected to take a $1.78 million loss.

David Medlin, an accountant with Baton Rouge-based Government Consulting Inc., a firm hired to examine Westlake’s books, reiterated his company’s findings that the city has an annual budget deficiency of more than $210,000 and is carrying a $14.5 million debt from 2013.

“In all my years of working with government finance, I’ve never seen a council or governing authority come in with such a problem,” Medlin said. “You have a dismal financial condition.”

But Brenda Kelley of Hudson Drive said the city should not tap residents to help them balance a budget that was the result of years of deficit spending.

“Mr. Medlin characterized this as something less than acceptable. I would characterize it as reckless,” she added. “The city is in a financial crisis and the utility consumers are being tagged for a stop-gap infusion of money, which is not needed in the utility budget as a whole, but is need to balance the overall budget because of the deficits in the general fund used to operate the city and the real estate development.”

Kelley said gambling and real estate sales are not sound bases for paying municipal operating costs, since both income sources are volatile.

“These types of revenue, at best, are dedicated to nonrecurring expenses, so when they dwindle, as they have been historically shown to do, they do not decimate a budget, which is where we are tonight,” she added.

Lorraine Eastman, owner of Eastman Chiropractic Clinic on Sampson Street, said she could not understand how a city could operate it finances as it has and not know anything about it.

“If I ran my office like this I would be broke,” Eastman said. “I can’t turn around and tell my patients, I’m going to increase your fees because of my shoddy bookkeeping. It has to be done, but I feel sorry for the people on fixed incomes.”

Hardey said the city’s senior citizens will continue to pay their utilities at their current rate.

The city council passed the 2015 utility rate hikes unanimously.

In other business, the city council passed a resolution calling for a 20-mill tax for the city’s police and fire departments to be placed on the ballot for the city’s special election on May 2.

If approved, the millage would bring in $500,000 a year, funds that would be split $250,000 for each department. The money, which would be earmarked for maintenance and operation, would be available for the police and fire departments beginning in fiscal year 2016.

(MGNonline)