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Little Falls council signals support to delay shutoffs, waive late fees briefly for federal employees during shutdown
Summary
Council members voiced support by consensus to place a temporary utilities policy on a future regular agenda that would waive late fees and delay water shutoffs for verified federal employees affected by a federal payroll shutdown, with several members recommending a one-month relief period and staff to return with formal language.
At a Nov. 3 special work session, Little Falls City Council members told staff they were broadly sympathetic to temporarily waiving late fees and delaying shutoffs for utility customers who can verify they are federal employees affected by the current federal payroll shutdown, but they asked staff to return with formal policy language and limits.
Staff introduced the issue after residents contacted the city about federal employees near Camp Ripley who are not receiving paychecks and face difficulty paying bills. A staff member asked whether council would support a policy that would waive late fees and not shut off water service during the shutdown while still requiring customers to pay the underlying bill.
“Correct. Because they will get back pay eventually,” one council member said while discussing why staff proposed waiving late fees rather than forgiving bills. Multiple council members questioned whether federal employees should be treated differently than other laid-off workers, with one member asking, “Why would we give a different status to a federal employee than anybody else?”
Councilors debated operational thresholds: staff said the existing shutoff policy places accounts on the shutoff list after about $200–$250 in unpaid charges and noted options such as payment plans to avoid shutoffs. Several council members proposed a time-limited accommodation; one member said, “I will say one month … I'll go one month,” and others agreed that a one-month waiver with the option to revisit would be a reasonable starting point.
No formal motion or vote was held at the special session; council indicated consensus to add a proposed temporary utilities policy to a regular agenda for formal consideration. Staff was asked to draft clear verification requirements (to confirm federal-employment status), define the waiver’s duration (members suggested one month or “squared up by the end of 2025”), and include procedural details such as whether customers must set up payment plans to avoid long-term penalties.
Next steps: staff will prepare a formal ordinance or policy amendment and place the item on the regular agenda for a council vote; council instructed staff to return with recommended verification and time-limit language.
