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Dell Rapids council adopts 5% water and sewer rate increases

Dell Rapids City Council · December 16, 2024
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Summary

The Dell Rapids City Council approved ordinances raising water and sewer rates by roughly 5%, increasing a typical combined water-and-sewer bill by about $3.83 per month; council and staff said the increases will add roughly $24,000 to water revenue and $31,000 to the sewer fund.

The Dell Rapids City Council on a unanimous roll call adopted two ordinances raising water and sewer rates, a move staff said will increase typical combined bills by about $3.83 per month. City staff presented the second readings of Ordinance 9-39 (water) and Ordinance 9-40 (sewer) during the meeting.

City staff said Ordinance 9-39 raises the example 5,000-gallon water charge from $52.95 to $54.66 and estimated the change would add about $24,000 in annual water revenue. "This is a 5% increase — $3.83 per customer per month," staff stated during the presentation.

On the sewer side, staff said Ordinance 9-40 increases the 5,000-gallon sewer example from $73.57 to $75.72, and that combined water-and-sewer bills would move from $126.55 to $130.38. Staff estimated the sewer fund would receive about $31,000 in additional revenue under the change.

Councilor Barry moved to adopt both ordinances and the council approved them on roll call. The council discussed the city’s existing debt for wastewater infrastructure and was told the outstanding wastewater debt balance is approximately $1.7 million with a maturity date in July 2048; staff described the rate as a surcharge the city is tracking and said future growth could shorten the repayment period.

Why it matters: staff framed the increase as a modest monthly change per customer that supports operation and debt obligations for water and wastewater systems. The ordinances take effect according to the local code schedule for adopted rate changes.

What’s next: staff will implement the new rates and continue tracking debt and fund balances; no other procedural steps were announced at the meeting.