DPS Commission backs draft 2025–26 budget and proposes modest water service-charge increase to offset GLWA rate hike

The Grosse Ile DPS Commission reviewed and recommended the township’s draft fiscal 2025–26 budget for drainage, roads, water, sewer, wastewater treatment and refuse and discussed several operating and capital items that staff said will shape the year’s spending and financing.

Derek (staff member) summarized the package and called out two immediate revenue drivers: a proposed increase in the quarterly fixed service charge on the water bill, and a federal appropriation/administration of sewer grants. He said the Great Lakes Water Authority (GLWA) has proposed a wholesale rate increase that would add roughly $187,683 to township costs; the draft budget covers part of that increase with broader line-item adjustments and proposes a $6.82-per-quarter hike in the fixed service charge (from $17.50 to $24.32), which staff estimates would raise about $111,142 in revenue.

The commission discussed program-level items that appeared in the presentation and packet: a cross-connection program (commercial and residential) required under EGLE compliance, continued meter replacement to reduce unmetered water and improve lost-water accounting, and funding for periodic updates to the water asset-management GIS and plan. Staff said the draft budget includes money to replace equipment (a backhoe financed over five years using a lease-like program) and to continue meter replacements.

On water-quality and service-line issues, staff reported a completed inventory of lead service lines (approximately 403 identified in the inventory). The draft budget earmarks dollars to replace about 10 lead services in the coming fiscal year at a budgeted cost of roughly $70,000; staff said per-service replacement costs range from about $5,000 to $7,000 depending on site conditions.

For sewer and the wastewater treatment plant, staff reviewed the status of a congressional appropriation administered by the EPA (used for a citywide sanitary sewer project) and the bidding outcome for the first project. Bids returned higher than the original budgeted low-bid assumption; one low bidder attempted to withdraw and the township is handling bid-bond issues and expects to rebid. Staff said the project budget relies on an approximate 80/20 grant split; engineering costs are not grant-eligible and increase the township’s share. Staff emphasized they will not finalize budget changes until firm bid results are available, and they will make budget adjustments after award when actual costs are known.

The commission also reviewed wastewater treatment plant items: a scheduled contract increase for the plant operator (Veolia) was incorporated into the draft, odor-control equipment installation is near completion, and planned plant capital of approximately $250,000 for non-ACO work is in the packet. Commissioners noted sludge-hauling bids and a new chemical (sodium bisulfate) in the plant budget.

On roads and public works, staff described a continuing pavement program including crack sealing and a repaving project for Belleville Drive, road machinery replacement plans, and dust-control timing concerns tied to a possible multi-week county bridge closure. Commissioners directed staff to coordinate dust-control timing with the county and vendors if bridge work disrupts the usual schedule.

After discussion, the commission voted to recommend the draft budgets to the township board and to advance staff’s proposed water service-charge adjustment as part of the draft. Derek said the formal rate change will be scheduled for a public hearing (customarily in June or July) before final board action. The commission did not adopt a final rate ordinance at this meeting; it recommended the budget package and the staff-proposed service-charge increase to the township board for action.