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The city is once again reviewing its water and sewage billing system following a complaint from a non-profit group.

Loggieville Non-Profit Senior Housing Complex secretary Angela McCormack asked council at its March 18 for a water meter for the building.

“We would like council’s permission to install a water meter which would bring us in line with every other apartment building in the city,” she said.

The building is on a private well and is therefore billed a flat rate for sewage of $90.52 per unit per quarter. That is the rate council included in a bylaw it passed in relation to apartment buildings generally in the city. However, it reversed the bylaw after the Miramichi Landlords Association complained the change would dramatically increase costs.

Currently residential units on city water are billed for sewage according to a formula that is based on water consumption.

McCormack said her organization believes it can save money if it is billed according to the same formula.

“We no longer receive any subsidies from the provincial government and depend solely on our rental income,” she said. “In order to keep the rents to an affordable range for our seniors, we need our sewage costs reduced.”

Coun. Rene Smith urged council to consider installing a meter at the site, saying he asked McCormack to pursue the matter.

“I think there is an opportunity here to truly find out what will it cost,” he said.

Mayor John McKay pointed out that in order to move from the flat rate to the formula, the meter would need to be placed on the complex’s private well. He added this new situation, combined with the landlords’ objections to a flat rate, shows the city needs to rethink the way the utility operates.

“It seems that the council has recognized that metering [for] both water and sewage is really the only fair way to do this,” he said.

Smith said he would like to see the seniors’ request used as a test case. Coun. Ned Manderson agreed.

“The idea of using this particular situation as an opportunity to experiment — to help us establish figures — I’m certainly in support of,” he said.

He also warned that if the city did move to billing based on water consumption, it could mean a drop in revenues.

McKay disputed that.

“If we go to all metered, it’s not going to mean … the city will lose money. The rate structure will be in such a way that the city will not be bringing in less revenue. It may mean that some people may be paying less than they are paying now — and others may be paying more, based on consumption,” McKay said.

Coun. John McLaughlin thought the issue would be better discussed at a Public Works Committee meeting and then referred.