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Willmar council adopts multiyear sanitary sewer rate increases to cover treatment‑plant debt
Summary
After a public hearing and questions about bond payments, the council adopted an ordinance raising sanitary sewer user rates 12.5% in 2025 and scheduled additional increases through 2028 to cover debt and capital needs; the ordinance passed 7–0.
Willmar — The Willmar City Council voted unanimously Dec. 2 to approve an ordinance that raises sanitary sewer user rates to ensure the utility can meet debt service and capital needs.
Public Works Director Justin D'Aurelio told the council the rate changes follow a Baker Tilly wastewater study and are recommended to ensure user rates cover outstanding debt service, projected operating expenses and future capital requirements. "Rates are recommended to increase by 12.5% in 2025, 10 percent in 2026, and 5% in '27 and '28 with no increase in 2029," D'Aurelio said.
Members of the public asked whether the increases would cover large bond payments tied to the wastewater treatment plant. D'Aurelio said the city faces rising payments: "In 2024, we had outstanding bond payment of $4,800,000. Next year in 2025, that payment in interest is increasing to 7,100,000.0. In '26, 7.4 million. In '27, 7.6 million... and '29 is 8,600,000.0; after that it would level back off to that $4,000,000 range." He and the council said the rate path was designed to address those obligations.
Council closed the public hearing and adopted the ordinance amending sanitary sewer rates for 2025–2029 by unanimous roll call (7 ayes, 0 nos). The council also voted to publish the ordinance by summary.
What this means for customers: Staff estimated the typical household impact at roughly $3–$4 per month based on the consultant's model; exact bills will vary by usage and customer class. Council members stressed that residential, commercial and industrial accounts follow different fee schedules.
Next steps: City staff will publish the ordinance summary and implement the rate increase in accordance with the ordinance timetable.
