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French Lick council halts hydrant-fee payments pending explanation from regional water district
Summary
After reviewing years of rising hydrant/fire-protection charges, the French Lick Town Council on July 6 said it will stop subsidizing the regional "fire protection" fee until the water district provides documentary proof that the town is legally responsible for the charge.
The French Lick Town Council on July 6 paused its long-standing payments of a regional hydrant/fire-protection charge and demanded a written explanation from the regional water district for the fee's calculation and legal basis. The move followed council review of historical figures and multiple questions from residents about where the money was going.
Why it matters: Councilors said the fee has grown substantially over the past decade and now competes with core town services. Members cited past totals (about $96,000 in 2016 and roughly $149,000 in 2025) and said the water board had projected an even larger bill this year — numbers that, if borne by the town, would reduce funds available for streets and other municipal needs.
Council discussion focused on the fee's legal authorization and rate construction. "We asked for proof that we should be paying, and we just continue to pay that, but as it continued to increase substantially and our funding's being cut as well," a council member said during the meeting, summarizing the group's frustrations. Another member noted comparisons with neighboring towns that pay smaller hydrant charges and questioned why French Lick's per-customer charge was so much higher.
The council said staff had repeatedly requested documentation from the regional water district and had not received clear evidence showing the town—s legal obligation. "We asked for the document that said that we legally owe them money, and they could not produce it," a councilor said, adding that the water district had provided only anecdotal historical explanations.
Officials described how the fee is constructed: it reflects system-level costs such as larger-diameter mains, water towers, pumps and related infrastructure needed to deliver the pressure and volume associated with fire protection. But several councilors said the town previously subsidized that charge without a clear written ordinance assigning the cost to the municipality.
Next steps: Council members directed staff to demand a formal accounting and legal citation from the water district and to bring back a written explanation. The town also encouraged residents to attend the water board—s public meeting (announced during the session) and asked staff to evaluate alternatives — including having the water company bill customers directly — if no lawful basis for the town subsidy exists.
The debate underscored a broader budget squeeze: councilors warned rising utility obligations will force choices between infrastructure maintenance, public safety and other services if the town continues to absorb the hydrant fee.
