City Council approves annual COLA rates for water and sewer fees amidst budget challenges

The City Council of Brownsburg, Indiana, convened on July 10, 2025, to discuss critical financial matters, including the annual cost-of-living adjustment (COLA) for water and sewer fees. The council reviewed Ordinance 2021-46, which outlines the proposed increases necessary to address rising operational costs and maintain service quality.

During the meeting, Council member Shawn emphasized the importance of gradual rate increases to avoid sudden spikes in utility costs in the future. He noted that current water utility revenues do not cover expenses, necessitating careful financial planning. The council has committed to using funds strictly for their intended purposes, ensuring the water and sewer funds operate without deficits.

The proposed adjustments would result in an increase of approximately 77 cents per month for an average residential user consuming 4,000 gallons, translating to about $9.26 annually. For commercial users, the impact could be more significant, with one large customer facing an increase of $1,600 per year.

Several major infrastructure projects were highlighted, including lead service line replacements estimated at $16 million and a new treatment plant projected to cost $7.8 million. The council discussed the need for these projects to ensure compliance with federal regulations and to modernize the water system.

The council also explored the potential for different fee structures for commercial versus residential users, acknowledging that businesses often consume more water. This discussion raised questions about the fairness of current rates and the possibility of amending existing ordinances to reflect usage more accurately.

In conclusion, the council's deliberations underscored the ongoing challenges of managing utility rates while ensuring the sustainability of water and sewer services. The proposed COLA adjustments are a step towards addressing these financial pressures, with further discussions anticipated regarding the structure of fees and the funding of essential infrastructure projects.