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Badger council adopts $10 monthly water infrastructure fee and updates rates for 2025
Summary
The City of Badger approved a new $10 monthly 'infrastructure fee' on all water accounts and adopted updated 2025 utility rates after discussion of bond payments, assessments and a rate study; council approved the change by unanimous vote.
The City of Badger approved a $10 monthly "infrastructure fee" for all water accounts and adopted updated utility rates for 2025 after a lengthy discussion of bond payments, assessments and a rate study. The council voted unanimous consent to implement the changes.
Council member Angela Gregerson, who was sworn in at the start of the meeting, led the discussion and said the current water base rate is $39. She said, based on her calculations and the rate study presented by Z. Tillberg, that covering a minimum funding target of $150,000 would require a monthly minimum water rate of about $70.27. Gregerson said she believed the outstanding bond payment on the water side was roughly $71,000 and noted the need for an asset reserve of about $8,500; she characterized some figures as estimates.
"With connections," Gregerson said, "to make the mark ... the current water rate is $39.00 ... in order to cover the expenses ... the water rate would have to be $70.27." Her remarks reflected the rate-study review that prompted discussion of alternatives, including special assessments and flat fees.
Council member C. Christianson said the city needs to show a positive operating position to qualify for USDA grant funding and suggested a flat monthly fee could be simpler. "I'd rather see a straight fee of $10.00 added onto the monthly billing rather than tying it to water usage," Christianson said. The council agreed to add a $10 infrastructure fee to all accounts, including for seasonal residents, and set the resident sewer base rate at $47.00. Council member Gregerson moved to implement the rate changes; council member G. Lee seconded. The motion passed by unanimous consent.
The council said it will reevaluate the changes in six months and expects more accurate usage data when the planned meter replacements are completed in the spring. The minutes record that special-assessment revenue was estimated to be about $30,000 annually based on current numbers, but the exact assessment amounts for individual properties were not specified during the meeting.
Next steps: staff will implement the fee change and return to the council for review in six months or sooner if adjustments are needed.
