Atlanta homeowners, already paying some of the highest water rates in the nation, may have to pay more money to the city for water-related service.

The city's Watershed Management Department wants to create a stormwater fee, hoping to raise nearly $24 million a year to reduce flooding in Atlanta's streets, improve water quality in streams and rivers and to improve its infrastructure.

As part of an ordinance scheduled to be introduced Tuesday to the City Council's Utilities committee, some homeowners would pay nearly $120 a year. Others would pay $64.80 a year.

Apartment building owners, religious institutions and businesses would pay 27 cents for each 100 square feet of impervious surfaces like parking lots, that cannot be easily penetrated by water and often result in stormwater runoff. The Varsity restaurant, which has about 180,000 square feet of such surface space, would pay $5,830 a year, city officials estimate.

The new fees, if approved, would take effect in July 2011.

Some homeowners paying their water bill Monday at City Hall weren't thrilled to hear about the proposed fee.

"I think we're paying enough for water already," said southwest Atlanta resident Betty Newsome, 84.

Northwest Atlanta resident Joseph Romant, 54, said he understood the city's desire to improve stormwater drainage, but he said many residents can't afford the fee because of the rocky economy.

"A lot of people don't have the money," said Romant, whose monthly water bill is $80.

Atlanta has been down these waters before. In 1999, the city mailed stormwater bills and the Fulton County Taxpayers Foundation sued. A judge ruled later that year the city's actions were an illegal expansion of property taxes.

Some metro Atlanta governments do charge stormwater fees.

DeKalb County charges homeowners $48 a year and businesses each month pay $4 per 3,000 square feet of impervious surface. The average Gwinnett homeowner will pay $73.63 this year for stormwater service, county officials said.

Councilman Howard Shook, who serves on the Utilities committee, said he plans to vote against accepting the ordinance. Shook said the council needs to focus on Mayor Kasim Reed's proposed budget and then spend more time on this ordinance after the budget is adopted in June.

"It's a peculiarly bad time to take up any discussion for a new fee for a new program," Shook said.

Shook also noted that water rates will rise 12 percent in July, when the third year of four consecutive rate increases take effect. The average Atlanta monthly water bill will have jumped from $50 to $143 -- a 186 percent increase -- over a decade. The money is being used to help fund Atlanta's $4-billion water quality and sewer system improvements.

"I think this is a huge mess waiting to happen," Shook said of the stormwater fee.

Watershed Management officials want to extend the deadline to complete the water and sewer work, in part, to reduce future water bill increases.

"The department is well aware that double-digit rate increases are unsustainable and present a significant burden to our customers," the department said in a statement.

As for the stormwater fee, city officials say in papers accompanying the legislation that Atlanta is "only minimally complying with federal and state water quality regulations and may be in danger of future fines and enforcement actions for failure to comply."

(CHART)

A breakdown of Atlanta water and sewer rate increases approved by City Hall in June 2008.

Year                                                 Pct. Increase

July 2008 -- June 2009                       27.5

July 2009 -- June 2010                       12.5

July 2010 -- June 2011                        12.5

July 2011 -- June 2012                        12.0

Source: Atlanta Watershed Management Department.