Vermilion officials say wastewater upgrade driving recent rate hikes; council presses for renegotiation and oversight

Vermilion City officials told the City Council on Feb. 3 that a planned overhaul of the city’s wastewater treatment system and related compliance work is the primary driver behind recently announced sewer-rate increases.

The council and residents pressed city administration and staff on the schedule and size of the project, whether a renegotiation with federal regulators and funders could lower the total cost, and whether newly received real-estate tax revenue could temporarily offset the rate increase until a final project cost is set.

City administration said the project planning and the debt-service modeling prepared by consultant CDM Smith were the bases for the rate schedule presented to the council. Council members and residents cited consultant estimates discussed in multiple meeting segments and asked whether an extension or renegotiation with the U.S. Environmental Protection Agency and other funders could substantially reduce the project’s price…