Vicksburg’s water and sewer customers could be looking at a rate increase in the future, as officials start meeting the needs of a growing city and upgrading and maintaining infrastructure, Vicksburg Mayor George Flaggs Jr. said Friday.

“I’m just putting the city on notice, because if you’re going to grow and expand the way we’re talking about growing and expanding and developing the city around it, we’re going to have to put some money out as relates to water treatment and wastewater in this city, because we’re at a breaking point,” Flaggs said. “I’m trying to get the mindset of the public and the citizens to understand that a rate increase may be around the corner for somebody.

“I don’t see how we can continue to improve the quality of service and meet all of these decrees at the same cost,” he said. “It’s just impossible.”

Flaggs’ comments came after the Board of Mayor and Aldermen approved a $1.6 million bid from T.L. Wallace Construction Inc. to replace one of the two clarifiers at the city’s wastewater treatment plant on Rifle Range Road. The clarifier popped out of the ground one year ago, damaging it and the pipes under it.

“I bring to your attention that we are undercharging the customers of this city as it relates to the cost of delivering the service of water and wastewater treatment in this city,” Flaggs said. “I know people don’t like to raise rates, but this is a fee for service. It’s important that you keep the charge in relation to how much it costs to deliver the service. A fee for service is a whole lot different form levying a tax.”

The city last raised water and sewer rates in April 2015, and included a $5 “EPA fee” to cover the cost of complying with a 2013 Environmental Protection Agency consent decree to assess, repair, replace and upgrade one-tenth of the city’s 110-year-old sewer system each year for 10 years.

The cost of the initial assessment repairs is expected to be bid sometime this year. No estimate has been given.

According to information from the city’s accounting department, the present rate structure has provided sufficient money to operate and maintain the system, but has not raised enough to develop a sufficient reserve to fund capital projects for the water and sewer system.

Besides the sewer system assessment and repairs, the city is also faced with upgrades to electrical system and other improvements at the water treatment plant on Haining Road, and meeting its share of the auxiliary waterline costs, which could be close to $1 million.

As the city has planned for those projects, it has also faced emergencies, such as the clarifier replacement at the wastewater treatment plan, replacing a rake on a clarifier at the plant, plus repairs to sewage and storm drain lines.

Flaggs said the city’s grant department has worked to get EPA grants and other funding, but it has not been enough.

“We’re at that point now, where we’re running out of money,” he said. “ I don’t how good I can say it, but this is a critical area of the city — water and wastewater treatment, and I don’t think you can have a city without having either one of those.”