Utility board proposes ~6.5% average rate increase, $1/hour wage adjustment; council sets Nov. 24 public hearing

Larry Brandt, chair of the Chesterton Utility Service Board, presented the board's biennial rate review at the Oct. 31 council meeting and recommended changes the board says will cover operating costs, capital needs and a proposed wage adjustment.

Brandt described the utility's assets and scale — citing roughly 80 miles of sewer main, dozens of lift stations and a 4.6‑million‑gallon‑per‑day treatment plant — and outlined capital projects including a slip‑lining project with a two‑phase cost estimate (phase one $2.3 million; the utility's share estimated at $1.3 million). He said the rate consultant (London Witty Group) projects that a typical customer using 10,000 gallons would see an approximate 6.5% increase; unmetered customers would see about a 6% increase.

Brandt said the utility includes in its proposal a 2% rate adjustment and a $1/hour wage increase recommendation for utility employees; he also proposed an additional $1/hour wage adjustment for all town employees funded in part by the utility. "The net effect wage increase would be in about the 5% range," he stated. He said the utility's contribution would raise the projected typical customer increase by roughly one percentage point over the base projection.

Council set a public hearing on utility rates for the council's second meeting in November (Nov. 24) to allow for required publication and mailings. No formal vote on rates was taken at the Oct. 31 meeting; Brandt's presentation and the public‑hearing schedule were the substantive outcomes.

Next steps: The council will hold the public hearing on Nov. 24; staff and the utility will provide required notices and supporting documentation ahead of that hearing.