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Preston officials explain $31 monthly sewer-rate increase as federally mandated plant upgrade proceeds

5064993 · May 29, 2025
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Summary

City leaders told residents at a council meeting that new Environmental Protection Agency limits on phosphorus require an upgraded wastewater treatment plant, funded largely by grants and long-term borrowing; council members apologized that some residents said they were unaware of the rate rise.

Preston city leaders addressed a $31-per-month wastewater rate increase during the council meeting, saying the hike stems from a federally required upgrade to meet new pollution limits and that the city has pursued grants and legal steps to limit the cost to ratepayers.

The matter matters because the U.S. Environmental Protection Agency issued a permit tightening phosphorus discharge limits, and the city must meet the new standard by Nov. 1, 2025, or face enforcement and fines. The council described a mix of grant awards and long-term borrowing that together fund the plant.

Mayor (unnamed) apologized to residents who said they were caught off guard. “I am going to express, embarrassment as well as offer, an apology in my behalf because I'm shocked that there's been members of our community that were totally unaware of this,” he said. He said the city secured about $36 million in grants and expects to bond for roughly $34 million for the remainder of the project, with projected financing costs near 1.75%.

Councilman Kelly Larson said the city pursued judicial confirmation to establish the debt limit and avoid larger exposure. According to Larson, the court capped the amount of indebtedness the city could place on citizens at $34,000,000: “In Judge Crown's infinite wisdom, he capped the amount of indebtedness that the city could put the citizen's on to $34,000,000.” (Transcript contains alternate judge name; council reported a judicial cap in the meeting record.)

Councilmember Brent Dodge said Preston attempted to obtain federal and state emergency funding when projected costs spiked during COVID-related supply-and-cost increases. “The day before Thanksgiving, I received a phone call... a bureaucrat from Washington D.C. told me they had found another $35,000,000 for the city of Preston,” Dodge said.

City staff provided a short frequently asked questions document and a project timeline. Sean Alverson, director of planning and land use, said roughly “51% of the project is funded by grants with 49% being through long term loans.” He told residents the city will distribute four- to five-page FAQ packets at the clerk's office and encouraged people to sign up for website email alerts for future notices.

Council members acknowledged they could have done more outreach earlier. “I was completely shocked when I found out how many people were not aware that there was going to be an increase,” Kelly Larson said, and several council members accepted responsibility for communication gaps and described steps — website items, email/text signups and a mailed FAQ packet — to reach more residents.

The council did not take a new formal vote on the plant or on rates at the meeting; members described ongoing oversight. Brian Moss, the city's new Class 4 wastewater treatment plant operator, reported construction progress: headworks and filter buildings have power and interiors largely complete, equalization basin and East Oxidation Ditch are being leak-tested, clarifiers are finished as concrete work and site trenching and piping resumed after weather delays. Contractors expect to meet an October deadline for paving to avoid winter delays.

Ending: City officials directed staff to make the FAQ and timeline broadly available (website, mailed packet option) and to continue weekly monitoring of construction. No new policy vote was recorded at this meeting.