Queenstown uses 32% water and sewer rate increase for budgeting as infrastructure work continues

Queenstown commissioners agreed at their May 13 meeting to use a 32% water and sewer rate increase for budgeting purposes while deferring any debt-service increase for now. Commissioners present were President Al Hardee and Commissioners Bryon Callahan and Jim Watzin.

The decision was procedural: staff was directed to prepare budget scenarios using several increase levels and to proceed with the 32% option for planning. The increase is for budgeting only and does not represent a formal adoption of new rates; formal rate adoption would require later action.

The decision comes as several utility projects are underway or under review. Town staff reported that sewer repair and restoration tied to the I&I project are complete; paving and water-main work were described (repair near Maryland Avenue and milling/overlay east toward Main Street). State engineers are reviewing documents for a proposed water tank and related infrastructure work.

Town Clerk Aaron Horney reported available balances that will inform budgeting: General Fund $63,128.08, Water/Sewer Fund $28,166.17, and ARPA funds at $0 after the final ARPA payment was used on the Old Wharf Lane sewer replacement project.

Town Manager Amy Moore said staff will present rate scenarios and that the 32% figure is intended to allow planning for necessary work without yet increasing debt-service charges. The commissioners did not vote on a rate ordinance at the meeting; they instructed staff to proceed with budget modeling and further analysis.

Next steps: staff will return with budget materials reflecting the selected scenario and additional details on projected impacts; the State Engineer’s review of the water tank will continue.