Waverly council advances rate increases for sewer, water and solid waste; solid-waste vote splits 6-1

The City Council on Feb. 17 approved second readings and set public hearings on proposed changes to sewer, water and solid-waste rates and minimum charges for fiscal years 2025–26 and 2026–27.

City staff explained the rationale behind the sewer and water adjustments during a detailed discussion. Justin (staff member) told the council the City’s water pollution control (WPC) project costs and operating expenses have increased substantially since planning began: sludge hauling costs have roughly doubled, "we went from 35,000 to over over 70,000 per year," and electricity and chemical costs have risen. Justin described options used by other cities — including one-time 30% increases — and said Waverly chose more gradual increases to spread the burden.

City Administrator James Brunner and finance staffer Valerie also addressed budget and fund-balance concerns, noting the city tries to set rates to preserve operations, pay debt service, and maintain reserves that support bond ratings. Brunner said a typical household using 600 cubic feet of water would see an approximate $2.50-per-month increase for sewer and about $0.90 per month for water under the proposed schedules.

Council action: The second reading of Ordinance 1160 (sewer rates) passed unanimously and a public hearing was set for March 3, 2025, at 7 p.m. The second reading of Ordinance 1161 (water rates) also passed unanimously and was set for the same hearing. The second reading of Ordinance 1162 (solid-waste rates) passed 6–1; one council member said the 20% proposed increase was too large.

Why it matters: The increases are intended to cover rising operating costs, new debt service related to recent capital projects and to maintain fund balances required for financial stability and bond-market access.

Next steps: Public hearings on the ordinances are scheduled for March 3, 2025. The council will consider final votes after the hearings.