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Milan reviews FY2026–27 utility rate model; water unit charge proposed to rise modestly
Summary
At an April 7 workshop, City Administrator Jim Lancaster and consultant materials presented a seven-year utility rate model that proposes raising the water unit charge from $5.22 to $5.84 per 1,000 gallons while holding sewer at $8.47; the plan assumes $1 million per year for water and sewer capital improvements and seeks to grow working capital without issuing debt.
City Administrator Jim Lancaster presented the Milan City Council with a seven-year utility-rate model and FY2026–27 budget workshop on April 7, outlining proposed changes to the water, sewer and rubbish funds. The model recommends smoothing rate increases through FY2031 and assumes $1,000,000 per year in combined water and sewer capital improvements paid from cashflow.
The presentation, which included consultant contact information from Plante Moran, showed a proposed water unit rate increase from $5.22 to $5.84 per 1,000 gallons for FY27 while holding the sewer unit rate at $8.47. The consultant materials in the packet showed a combined per-unit charge rising from $13.69 to $14.31, a roughly 4.5% increase. A sample monthly bill for a family of four in the slides…
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