County hears updates on water rates, new water line testing and federal grant opportunities

County and city officials updated the Young County Commissioners Court on several water and utility items, including a proposed city water-rate increase, final testing of a water line to a proposed hydrogen facility, and new state grant opportunities for water projects.

City staff told the court the city council will hold a public hearing this week on a proposed 7% increase to water rates to help cover rising costs of operating and recapitalizing the water-treatment plant. Officials said the county receives water into portions of the unincorporated area, including service through Fort Belknap Forest Supply Corporation, and that rate changes will primarily affect customers inside the city but could have downstream impacts on county service agreements.

County staff also reported they are in the final stages of testing a new water line and monitoring system that runs from the water-treatment plant to Highway 209 and the proposed site of the Plug hydrogen facility. Water has been run through the line; staff said the monitoring and communications setup is complex and that remaining testing could finish in August or early September. County staff said the project will periodically run the line to exercise pumps and provide water for construction when Plug begins work.

Separately, officials noted a major state water-funding package recently passed the legislature and opened grant and low-interest loan opportunities. The staff briefing cited roughly $2 billion in grant funds available this fiscal year, with an additional $1 billion in the next biennium, and recommended that the county consider applying for projects to improve local supply and distribution.

Commissioners asked for updates on the Plug project’s schedule; county staff said they were waiting for a formal liaison presentation and that indications from the project’s leadership were optimistic about loan guarantees and progress on approvals.