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Mayor proposes phased utility investments, rate review and $1 million hardship fund tied to new-project revenue

State of the City address (City of Michigan City) · June 30, 2026
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Summary

The mayor said Michigan City has gone 11–14 years without a utility rate increase, that water and sewer systems are aging, and proposed phased infrastructure investments with a rate-review process and a hardship assistance fund (target about $1 million) to prevent disconnections during changes.

The mayor told the audience that aging water and sewer infrastructure—some systems nearing or exceeding 100 years old—requires responsible, phased investments and periodic rate reviews.

"It has been 11 to 14 years without a utility rate increase in this city," the mayor said, adding that inflation and aging infrastructure make updates necessary. She said the administration plans to evaluate rates every two to three years and will hold a series of public workshops about rate increases over the next month.

Hardship assistance proposal: The mayor said she has presented a resolution to city council and proposed creating an assistance fund (she described a target of about $1 million) using a portion of new-project revenue related to the Google data center project to support residents at risk of water disconnection. She framed the fund as a public-health safeguard: households without running water face health risks that the city should mitigate.

Sanitary district and impact fees: The mayor said the sanitary district needs modernization after years of limited investment and said impact fees will be part of how growth pays for growth. She noted recent federal appropriations progress that could support septic-to-sewer transitions for some properties.

What the address did not include: Specific rate schedules, enactment dates, detailed eligibility criteria for the hardship assistance program, or staff cost estimates for program administration. The mayor said further details and supporting documents will be posted online and that staff will host workshops for public input.