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Officials propose multi-year water-rate increases to cover urgent repairs and long-term projects

Gardner City Public Service Committee · April 16, 2026

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Summary

Gardner City DPW Director Arnold presented an ordinance proposing a multi-year water-rate increase (20% in July, then 15%, 15%, 10%) to fund immediate repairs (filters, computer systems, well redevelopment) and a proposed $10 million water-main replacement program; councilors asked about equity and timing and the mayor supports the proposal.

DPW Director Arnold presented a proposed ordinance April 16 to amend Gardner City’s code on water rates and outlined a multi-year schedule intended to shore up the water enterprise fund and pay for immediate capital needs.

Arnold told the committee the city has deferred maintenance and now faces large-ticket needs including replacement of filter media at Snake Pond (estimated $185,000–$200,000), computer-system upgrades at two water facilities ($250,000–$300,000), redevelopment of the Snake Pond well and interior storage-tank work, and an eventual $10 million program of water-main replacement for aging infrastructure. He said the city is proposing a 20% increase this July, followed by 15% in the next two years and 10% in the fourth year to restore the enterprise fund and fund projects.

On the proposed schedule Arnold said the plan is designed to restore a modest operating cushion (roughly $300,000) and keep the enterprise fund solvent; he noted the mayor supports the proposal and said the goal is implementation by July 1 pending finance-committee and council review. When committee members asked whether the increase could be smoothed, Arnold said a larger upfront increase recovers funds faster and would allow higher-priority work to proceed sooner.

Arnold also described the impact on a typical household: the average water bill he cited is about $25 for the water portion, so the initial 20% increase would raise that part by about $5 per month. Councilors asked about growth and revenue projections; Arnold said revenue scenarios and a conservative safety factor are included in his packet and that revenues can vary with weather and conservation.

The ordinance was placed on the committee’s agenda for further review; the chair said the item will remain for the next meeting and is expected to move through finance with the aim of a council decision in May. Committee members asked staff to provide additional detail on revenue projections and on options to mitigate impacts to the most vulnerable ratepayers.