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Commissioners approve East Montana water, sewer rate increases; county outlines phased rises
Summary
The court approved new water and sewer rates for the East Montana water system that will take effect Oct. 1, 2025. County consultants recommended increases to address capital needs, meter replacement, purchased water costs and a 1,000,000‑gallon tank debt plan; the court approved the recommendation by motion.
County leaders told the Commissioner's Court on May 19 that a consultant study found the East Montana water system requires higher customer rates to cover operating costs and planned capital needs. County staff recommended, and the court approved, new rates that will take effect Oct. 1, 2025.
County staff and the presenter (calling in as ‘Fernie’) said the consultant’s analysis recommended a residential minimum water charge of about $46.15 and a sewer minimum charge of about $45.72, figures the county summarized as roughly a 9 percent increase for the water base and a 12 percent increase for the sewer base compared with current charges. County staff illustrated a phased outlook: an average household using 8,000 gallons on a three‑quarter‑inch meter would see a roughly $5 monthly increase in FY2026 (the first year of the phased schedule) and additional increases in subsequent years as the county funds meter replacement, capital projects and potential debt service for a planned 1,000,000‑gallon tank.
Commissioner Butler said she pulled the item for discussion to ensure transparency with affected residents. County administrators said the system buys treated water from El Paso Water Utilities and that purchased-water cost pressures — together with lower-than-expected new hookups in some service zones — contributed to the need for higher rates.
The court took formal action: Judge Samaniego moved, Commissioner Butler seconded, and the court approved the rate schedule as recommended; the county auditor recorded the vote as carried.
Why it matters: The East Montana system is operated as an enterprise fund whose fees are required to cover operating and capital costs. The phased increases are intended to fund meter replacement, maintenance and future tank/debt plans while spreading the cost over several budget years.
Key details: - New base charges proposed: water ~$46.15; sewer ~$45.72 (effective 10/01/2025). - Consultant recommended a phased rate schedule with further increases in FY2027 and FY2028. - County staff noted last year’s rate increase was substantial (about 22%) and that this new increase continues a multi-year adjustment process.
What happens next: Staff will implement the new rates Oct. 1 and continue the consultant engagement to monitor and recommend subsequent annual adjustments tied to project completion and meter replacement progress.
