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La Grange board approves 5% water and sewer rate increase after debate over reserves and pass-throughs
Summary
The Village Board unanimously approved an ordinance to raise water and sewer rates by 5% effective May 1, 2025. Trustees debated whether to adopt a larger (10%) increase to shore up reserves; staff said a financial consultant will re-examine long-term needs. The increase is projected to generate about $383,740.
The Village of La Grange Board of Trustees voted unanimously on May 4 to adopt an ordinance amending the village fee schedule to increase water and sewer rates by 5% effective May 1, 2025.
Trustee Augustine, presenting the item, said the increase follows guidance from the village's 2022 water system needs assessment and rate analysis prepared by Baxter & Woodman and explained the village's pass-through approach when the village of McCook raises wholesale water rates. "Staff has recommended implementing the 5% water and sewer rate increase," Augustine said, and staff estimated the increase would generate approximately $383,740 in additional revenue.
Several residents and trustees pressed for more detail before larger or additional increases. Al Foreman, a La Grange resident, urged the board to publish rate tables and be transparent about how pass-through charges are calculated. "I would ask the village to try to be a little bit more transparent on publishing the rates," Foreman said, noting he reviewed personal bills and the Baxter & Woodman report and questioned whether prior increases were applied correctly across cost components.
Trustee Thompson argued the board should consider taking the fuller 10% increase previously contemplated to build reserves ahead of large capital needs—flood mitigation, lead line replacement, and other infrastructure projects. "My fear is bond issues get harder to pass as time goes on," Thompson said, urging the board to act to avoid future revenue shortfalls.
Trustee Augustine and Village Manager Knight responded that staff will include the water fund in forthcoming analysis with a financial consultant and review the village's infrastructure capital plan before recommending further adjustments. Manager Knight said the capital plan broadens the view beyond water and sewer to include roads and other infrastructure and that combined project planning could change timing and funding needs.
After discussion, Trustee Augustine moved to adopt the ordinance and Trustee McGee seconded. Clerk Saladino conducted a roll call vote; the motion carried unanimously.
Next steps: staff said it will work with a financial consultant and return to the board with updated long-term fund projections and options for future rate adjustments.
