During Monday's meeting, Council President Andy Kirchner said the town is losing approximately $2,000 a month from both entities due to ever-growing cost increases in operations and materials.
While the council made no decision on a definite increase, they agreed to move forward on the issue, stating they would begin consulting an attorney to draft an ordinance.
Kirchner added the council hoped to set up a special meeting as soon as possible to further discuss the issue.
"We just want to cover expenses," Kirchner said.
Town Clerk/Treasurer Cathy Mienheartt said the last sewer rate increase the town went through took place in 2004, while the last water rate increase occurred in 1997.
Meanwhile, the council met with members of the Lady Volunteer of Staunton to discuss its fundraising efforts for the Staunton Community Center.
Kirchner said council members contacted the Indiana State Board of Accounts (SBOA) just to make sure the committee was OK with what the volunteers were doing for the center.
"There seems to be some confusion and I want it straightened out," Kirchner said.
Monthly, the volunteers have planned dinners at the center. All donations made from the dinners have gone back into the center for upkeep and improvements.
The volunteers have set up an account where they have placed the money before giving it to town officials. In addition, because all the money donated is going directly to the center, the volunteers have not paid rent for the facility when conducting the community dinners through a mutual agreement with the council.
However, officials with the SBOA stated either the town has to take over the account or the volunteers need to begin paying rent on the facility when having an event.
"The volunteers have been working under our guidance," Kirchner said.
Still, in order to avoid an audit, SBOA said the town had to decide on one of the two options.
Council members agreed to further examine the issue.
The Staunton Town Council meets regularly on the second Monday of each month at the Staunton Community Center. Its next meeting is scheduled for 7 p.m., Monday, Sept. 12.