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Residents press council over 5% water increase; councilors say rise reflects higher wholesale costs and catch‑up after years of low increases
Summary
A resident told the Severance council a 5% water rate increase hits limited‑income households hard. Council members and staff responded that wholesale water costs rose (staff cited 7% for the town’s supplier), that the town aims to spread increases and build reserves, and that proceeds are earmarked for water operations and capital.
A resident who identified herself during public comment told the Severance Town Council on Jan. 14 that the recently approved 5% water rate increase will strain lower‑income households. “A lot of people who work, their companies do not increase their pay based on profitability. So when you have a 5% increase … on a very limited income, that’s huge,” the resident said.
Council members and staff used a subsequent discussion to explain the town’s reasoning. Council Member Gallardi and others said the town’s wholesale water supplier raised its rate this year (staff later confirmed a 7% wholesale increase for one regional provider), and that Severance did not pass through all wholesale increases last year when it had a larger increase to its rates. Finance and council members said the town must both cover rising operating costs and build reserves for maintenance and future projects such as a regional filtration/treatment option.
“Those dollars are earmarked only for water,” Council Member Bridal said. He and others described capital needs including a proposed treatment facility intended to diversify the town’s water sources. Finance Director Lemus and other staff said the town is trying to limit the immediate impact by phasing increases and that, compared with neighboring providers, Severance’s increase was relatively modest.
Mayor Friese offered a broad policy context, noting historic underfunding of the water enterprise and warning that long‑term costs for water could rise substantially: “People in Colorado need to get their head around a $500 a month water bill. It’s coming,” he said, framing the council’s approach as planning for long‑term reliability rather than short‑term savings.
Council members and staff invited residents to use posted budget materials, attend open houses and contact councilors for detailed budget briefings. Several councilors said they are open to targeted relief measures and asked staff to research options for rate assistance or conservation programs that could reduce bills for vulnerable households.
Ending: Council reiterated its intent to balance fiscal sustainability, capital investment and resident affordability and asked staff to explore targeted assistance options and return with more information.
