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Freeport council approves water, sewer rate package after split debate
Summary
At a special August meeting the Freeport City Council voted 3–2 to adopt a new water and sewer rate package (option E) intended to cover a projected FY25–26 utility fund shortfall; the plan raises revenues but prompted debate about small-business exemptions and future capital needs.
Freeport — The City Council voted 3–2 at a special meeting in August 2025 to adopt a water and sewer rate package (agenda ordinance and companion fee-schedule resolution) aimed at closing a projected shortfall in the utility fund for fiscal year 2025–26.
The package council approved — labeled option E in staff materials — would generate roughly $1.4 million in additional annual revenue, according to Finance Director Ashley Hurst. Hurst told the council the water and sewer fund “should operate like a business,” and that recent contract and vendor cost increases have pushed the fund into a deficit unless user charges are raised.
Why it matters: Freeport’s water and sewer operations are run as an enterprise fund; staff reported combined increased costs of about $1.2 million since the last rate adjustment and recommended a rate change now to avoid repeated back-to-back increases. Council members pressed staff on…
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