Westmoreland adopts developer water and sewer policies, sets capacity fees after heated debate

The Westmoreland City Council approved three related measures on developer contributions for utility infrastructure, adopting developer policies for water and sewer systems and establishing a capacity fee for new residential connections.

Council members approved the developer policy for water system improvements and the developer policy for sewer system improvements by unanimous votes. The council then approved an ordinance setting capacity fees for new residential service connections, amended on the floor to set the fee at $3,500 for water and $3,500 for sewer (a combined $7,000 per dwelling), and passed that amended fee schedule 4–1.

The measures: The council voted to adopt the developer policy ordinances for water (Ordinance 0032025-1) and for sewer (Ordinance 0032025-2) after discussion that the documents include template rate tables and that specific line items (for example, cul-de-sac charges and minimum usage amounts) can be adjusted later. Both ordinances passed unanimously.

Separately, the council considered Ordinance 0032025-3, to adopt capacity fees. An initial proposal on the floor would have set capacity fees at $6,000 for sewer and $4,000 for water (a $10,000 total per home). Council members debated the size of the charge at length. Some members called the $10,000 figure excessive for smaller local builders; others said the fee was needed to help the city close a long-standing funding shortfall and avoid placing the burden on existing customers. Council members repeatedly referenced an engineer's earlier presentation about the utility systems' condition and an 80% capacity threshold the city faces.

After debate, the council amended the ordinance on the floor to set the fee at $3,500 for water and $3,500 for sewer. The amendment carried 4–1, and the main motion, as amended, passed by the same margin. The council recorded concern from several members that a sharply higher fee could discourage development; other members argued that failing to charge developers would require spreading higher costs across existing utility customers or could lead to state-imposed limits on new connections if the city fails to expand capacity.

Council discussion also addressed timing and flexibility: members agreed the policies establish a framework that can be adjusted later, and the council discussed reviewing revenue impacts and revisiting fees in months ahead if warranted. City staff and the council noted that bringing fees into place is intended to create a revenue stream to support future capital work, including treatment-plant upgrades and potential bonding, and to avoid raising recurring monthly charges on existing residents.

What passed (selected outcomes): - Ordinance 0032025-1, developer policy for water system improvements — passed unanimously. - Ordinance 0032025-2, developer policy for sewer system improvements — passed unanimously. - Ordinance 0032025-3, capacity fees (amended to $3,500 water / $3,500 sewer) — passed 4–1.

Council members said the fee levels can be revisited and that detailed line items in the developer policy (tap fees, cul-de-sac charges, minimum usage fees) will be refined separately. City staff indicated the policy functions as a template and that the council may amend specific numeric entries at future meetings.

Ending: The council moved on after the votes to other items on the agenda. The capacity-fee ordinance takes effect as written in the ordinance language and will be reflected in the city's fee schedules; the council discussed monitoring revenue for six months and returning to the fee levels if growth or revenue patterns suggest adjustment is needed.