During a recent government meeting, Megan Smith, Deputy Director of Public Works, presented the proposed utility rates and fees for 2025, highlighting a recommended 5% increase for both water and wastewater usage rates, as well as capital investment fees. This proposal follows a comprehensive rate and fee study conducted by the Denver-based firm Raftelis, which has been instrumental in ensuring the financial sustainability of the utility funds since its initial engagement in 2002.

Smith emphasized that the rate adjustments are necessary to cover rising operational costs, particularly a significant increase in lease costs from the North Poudre Irrigation Company, which has surged by 640% over the past decade. Additionally, the presentation outlined the financial projections for the water and wastewater funds, underscoring the importance of maintaining equitable rates across different customer classes, including new growth versus existing customers.

The proposed rates were compared to those of neighboring communities, revealing that while Wellington's base rates for residential water usage are competitive, they become less favorable during higher usage periods, particularly in the summer months. Smith noted that the rate-setting process is not market-driven but rather based on the actual costs incurred by the utility.

The meeting also addressed the impact of these proposed increases on residential and commercial customers, with detailed comparisons provided for various usage levels. Smith concluded by reiterating the necessity of these adjustments to ensure the continued reliability and sustainability of the town's water and wastewater services. The board will review the proposal further before making a final decision.