Tennessee American Water no longer will collect sewer and garbage fees for some area municipalities after October, a change city officials say could prove costly for them and confusing for ratepayers.
“It’s kind of a surprise,” said Jerry Stewart, Chattanooga’s director of waste resources, adding the privately held water company had been collecting sewer fees for the city since the 1950s.
Among cities affected by Tennessee American’s decision are Red Bank, East Ridge and Rossville.
“It adversely affects Red Bank,” said Mayor Monty Millard, citing the city’s garbage fee that’s collected by the company. He said that the move will increase Red Bank’s costs, but he couldn’t say by how much.
Tennessee American spokeswoman Jessica Presley said the company decided in 2011 to exit billing for municipal sewer and other services by Oct. 31.