Standing Room Only as City Hears Concerns Over Water Rate Increases
 | Author:
Linda Kent, MT43 News Staff Reporter
MT43 News Correspondent |
Standing Room Only as City Hears Concerns Over Water Rate Increases
Linda Kent
MT43 News Staff Reporter
It was standing room only in Townsend’s City Hall June 18 for the city council’s public hearing on its notice of intent to raise rates for city water users in the coming months.
While none of those who spoke questioned the need for significant upgrades to the system, many voiced concerns that the new rate for residential users – more than triple the current monthly $20.57 fee – is more than many citizens can afford.
“I live on a fixed income,” Duane Holom told the council. “I don’t have $20 or $30 to spare.”
Several of those who spoke at the meeting referred to the significant increases to the cost of city utilities in recent years, including those due to support the sewer lagoon. Currently, city residents pay just over $100 per month to the city for water, sewer and garbage services. Once new rates are implemented, that will top $180 each month.
“My big question about this is, are we going to get a reduction?” John Shuler asked.
Mayor Vickie Rauser explained that while grants make up some funding for both the sewer lagoon and water system, the bulk of the cost for both comes through Montana State Revolving Fund loans. She did not indicate when or if rates would go down after the terms of those long-term loans.
“The people who can’t afford it, what then?” Holom asked, wondering if their water would be shut off.
Rauser responded that the city has explored some assistance programs, but programs offered through the state during the pandemic are no longer available because the state opted out of federal money to fund them.
Rauser explained the council’s decision to look into the capacity of the community’s water system: A fire in Dutton which resulted in the loss of several homes when firefighters surpassed the limits of their own water system.
The basic standard for water storage for a community of Townsend’s size is 1 million gallons, Rauser said. The iconic Townsend water tower holds only a quarter of that. Currently, she added, city users on the south side of the community experience water pressure issues. The planned Copper Springs subdivision would place additional pressures already beyond capacity.
The proposed water system includes a 1 million gallon storage tank to be installed east of Townsend near the fairgrounds. Also included will be several new hydrants and valves. Rauser said the project could go to bid in late July or early August, with work beginning as early as this fall. The upgraded system is expected to go live in early 2026, with an estimated price tag of $16-17 million dollars.
During the second reading of the resolution of intent, which took place during the council’s regular meeting immediately following the public hearing, council members voted to amend the resolution, splitting the rate increase into three phases. Increases of approximately $23 per month would take place on Sept. 1, 2024, Nov. 1, 2024, and July 1, 2025. The total increase for residential users, $70.46, would remain the same.
A final public hearing on the city's proposed water rate increases will take place at City Hall, 6:30 p.m., Tuesday, July 16.
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PhotoCredit: Photo Credits: Linda Kent
Image 1 Caption: Townsend Mayor Vickie Rauser (left) signs the city’s amended notice of intent to increase water rates during the June 18 city council meeting. The revised notice would phase in a $70.46 increase in base user rates in three increments of around $20 between Sept. 1, 2024, and Jan. 1, 2025.
Photo Credits: Linda Kent
