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Speedway introduces stormwater utility ordinance; engineer recommends $3.77 monthly residential fee
Summary
At first reading, council heard a presentation on Ordinance 14-20 to create a stormwater utility. Christopher Burke Engineering recommended a $3.77 monthly residential rate ($1 base + $2.77 ERU), a $500,000 annual revenue target, and a multi-year project list; the ordinance advances to additional readings and a public hearing.
President Nick Sturgeon opened discussion Dec. 8 on Ordinance 14-20, a first reading proposal to establish a dedicated stormwater utility for the Town of Speedway. Grant, town staff, said the town currently does not charge a dedicated stormwater fee and described state‑mandated MS4 responsibilities that have been funded from the general fund.
Matt Roman, project manager and GIS coordinator with Christopher Burke Engineering, presented the firm’s study and a recommended rate structure. Roman said the firm’s full five‑year capital need estimate initially totaled about $6 million but that staff and engineers refined plans to target roughly $500,000 in annual revenue to fund a start‑up work program. "So the proposed rate structure, every parcel in town is gonna pay $1 a month as a kind of a base fee," Roman said, describing a separate ERU charge for impervious area. Under the recommendation, a single residential equivalent unit (ERU) would be $2.77 per month; combined with the $1 base fee the typical residential bill would be $3.77 per month.
Nonresidential properties would pay by ERU multiples (the ERU was described as roughly every 3,100–3,200 square feet of impervious surface), and undeveloped parcels would be charged one‑third of an ERU plus the base fee. Roman said the utility would fund capital projects, master planning, operations and maintenance, equipment and some staff costs, and would reduce pressure on the town’s general fund.
Grant and councilors described examples of likely projects, including stabilization and maintenance of Dry Run ditch and inlet cleaning. Grant said the town will advertise a public hearing and pursue a second and third reading before adoption; staff proposed a potential effective date in March or April and said they expect to finalize the public hearing date at the second reading.
Council did not vote on the ordinance at first reading; staff emphasized additional outreach and the statutory hearing process. "We do wanna hear the public's input on this," President Sturgeon said, noting that the fee will affect all property owners. The council’s next steps are a second reading with an advertised public hearing and subsequent third reading and adoption if approved.
Funding context and next steps: Roman said the $500,000 target would not meet every identified need immediately but would start prioritized projects. Grant said the town may pursue pay‑as‑you‑go projects before considering bonding. The MS4 program and required inspections and reporting to IDEM were cited as existing obligations the utility would better fund than the current general‑fund approach.
The town will include the stormwater project list and further rate details in public materials ahead of the second reading and hearing.
