The Tipton Utility Service Board on Oct. 6 approved routine claims and directed staff to proceed with a study of water and wastewater rates, saying aging equipment could require substantial capital work in the next few years.

Jim, staff member, told the board he has asked Kron and Associates to analyze city water and wastewater finances and return with recommendations, likely in November. "It's been 10 years since we've reviewed our wastewater rates, and it's been seven years on our drinking water rates," he said. He added the board faces potential capital work on 50‑year‑old clarifiers and other equipment and wants to plan before failures occur.

The study will evaluate the utility's cash position, projected capital needs and potential rate adjustments. Jim said the consultant's preliminary review indicated the utility is currently in a "really good position with our cash balances," but that wastewater projects could total "a couple million dollars" if critical equipment needs replacement.

Board members also discussed an estimate from the city showing a 2.76% rate increase for Tipton Utilities in 2026. Jim said that figure is produced annually by the city based on anticipated costs and flows through the board's rate tracker rather than requiring a separate city council action. He said the city evaluates that projection again midyear.

Members placed the rate study and consultant presentation on a November timetable. The board did not take a formal vote to change any customer rates at the Oct. 6 meeting.

Board discussion placed the rate review in the context of broader regional utility pressures. Jim noted investor‑owned utilities are proposing much larger increases next year, "anywhere from 12 and a half to 27%," and that some large customers are pursuing alternative service structures; he cited one company forming an unregulated affiliate to serve a data center and shift peak costs. Jim also noted possible changes at the Indiana Utility Regulatory Commission, saying state leadership could affect the pace of investor‑owned rate increases.

The board heard several project updates tied to system reliability: the West plant backwash pump installation is expected by October, and East Street paving related to recent utility work must be completed by Thanksgiving when asphalt plants typically close.

The board agreed to receive Kron and Associates' rate study and recommendations in November, then consider any formal rate changes in subsequent meetings.