The Columbus City Common Council approved on first reading an ordinance setting new water rates following a settlement with the Indiana Utility Regulatory Commission (IURC) and also advanced an amendment to the municipal code to reflect the new rates.

Utility staff and consultants described the IURC settlement and the rate structure. Roger (utilities presenter) and Gavin Harvey (associate director of finance and business) explained the IURC changed the previously planned two‑phase increase into a three‑phase settlement; the settlement reduced certain components of the originally proposed increases, including wholesale charges for contractor customers. Staff described a three‑year schedule of adjustments tied to capital projects and a planned $29 million State Revolving Fund (SRF) bond issue to fund water treatment plant improvements and water main replacements.

Gavin Harvey presented projected customer impacts. He said the average residential water bill (based on 4,000 gallons per month) is currently about $16.45 and the first‑year increase would move the average to $18.63 (about $2.18 more per month); at the end of the three‑phase period the projection is about $21.72 per month on average. Staff noted the council was only setting the first year’s tariff in this meeting and that the IURC requires an annual true‑up for subsequent years.

The council also advanced a companion ordinance to amend the municipal code to incorporate the new water and sewer rate schedules.

Why this matters: the rate changes fund necessary water infrastructure projects, including treatment plant improvements and main replacements, and are tied to a large SRF financing package. Staff said the SRF financing should provide a subsidized rate that is more favorable than commercial borrowing.

Next steps: Council approved first reading 8–0 on the rate ordinance and separately passed first reading on the code amendment; staff will return with the formal tariff documents and implement the first‑year rates on the schedule set by the ordinance and state rules.