“So, for water, we’re looking at a 6.38% increase, but on the sewer side, we’re at a 3.09% decrease.”
That’s Grand Rapids Utility Financial Officer Tai Verbrugge.
“Water put $50 million worth of new assets into the ground. Sewer put in less than $12 million. And the reason for that is sewer doesn’t have to replace lead lines. Water has a requirement to replace those.”
The new rates follow a 20-year trend of gradual rate increases associated with infrastructure costs and population growth. For example, in 2005, the quarterly bill for an average household was just over $63. Two-plus decades later, that same quarterly bill would be just over $215 next year.
“So, water’s putting all these assets into service, and it’s getting more expensive for every asset that we put into service.”
Grand Rapids provides water and sewer services for 11 surrounding communities including Walker, Kentwood and Caledonia Township. As commercial customers, rate calculations are based on infrastructure costs and maintenance.
The public is invited to provide proposal feedback on November 21st and 24th from 10 a.m. to 2 p.m. at the Grand Rapids Public Library. City commissioners will vote on the proposal on December 16th. If approved, the new rates would go into effect January 1st.
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