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Pierson council approves first reading to let council set water rates by resolution

Town of Pierson Town Council · August 6, 2025
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Summary

On first reading the council approved Ordinance 2025-08, removing fixed 1998 water rates from the code and allowing rates to be set and updated by resolution so the town can review rates annually; staff cited a near tripling of operating costs after adding a new well and contracting with CWS.

The council approved the first reading of Ordinance 2025-08, which removes embedded rate tables from the town code and allows the council to set water rates by resolution going forward.

Deputy clerk Ryan Smith explained the rationale: the town installed a new well and contracted with CWS to operate the system, and operating costs "have almost tripled" compared with prior years. "So instead of being baked into the ordinance, the resolution can be updated as needed," Ryan said, describing the ordinance language that provides the council the annual opportunity to review rates rather than imposing an automatic CPI increase.

Several residents asked whether the water fund has a reserve and whether rate changes would be large. Ryan and staff said the department does not have an operating surplus beyond required reserves (the town mentioned an 8-to-12-month reserve guideline), and the ordinance does not automatically raise rates; rather it allows the council to set rates by resolution and to consider annual adjustments.

Vice Mayor Robert Greenland moved to approve the ordinance on its first reading; Councilwoman Brandy Peterson seconded and the roll-call vote was unanimous in favor.

Next steps: staff will prepare the rate-setting resolution and a public notice to appear on utility bills and in local publication ahead of second reading in September.