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Frederick adopts 2025 water-rate study and fee amendments to fund infrastructure, NISP payments
Summary
Town of Frederick trustees approved two resolutions adopting a 2025 water-rate study and fee-schedule amendments intended to fund capital improvements, operations and Northern Integrated Supply Project obligations; staff said new base calculations shift the included baseline from 3,000 to 5,000 gallons and the change is timed for the February billing cycle.
The Town of Frederick Board of Trustees voted to adopt a water-rate study and a corresponding fee schedule amendment intended to fund water infrastructure improvements, purchases of raw water and Northern Integrated Supply Project (NISP) payments.
Sarah, a town presenter, told the board the water fund is an enterprise fund (supported by rates and fees, not taxes) and described a multi-year plan that includes ongoing treated-water purchase increases and large upcoming NISP costs. Staff explained the change to how the base rate treats the first gallons of use — moving the base from the first 3,000 gallons to the first 5,000 gallons for billing purposes — and said the proposed rate changes are intended to better align cost responsibility with customers who place higher demand on the system.
Staff recommended implementation in the February billing cycle to avoid confusing customers during irrigation season. Trustees asked about public outreach; staff said a public information page and social media graphics had been posted and that only a small number of comments were received through the linked communication form.
Trustee March moved to approve the two resolutions (listed in packet as Resolution 25R08 and 25R10) to adopt the water-rate study and the fee schedule amendment. The motion carried unanimously (recorded as a yes vote by trustees present). Trustees emphasized that the board shares the impact of rate changes and that staff will continue outreach and conservation messaging to help residents manage bills.
