City council approves large increase to wastewater utility rates

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GREENFIELD — The Greenfield City Council held a public hearing Wednesday, April 22, on an increase in the city’s wastewater utility fees, but no members of the public commented either in person or via videoconferencing.

The council approved resolutions for the fee increase as well as for the bond sale it is intended to back, allowing for a $42.5 million bond. The money will be spent on the construction of a new wastewater treatment plant, which is planned to be completed in 2022.

The city council has limited attendance at its meetings to 10 members of the public in accordance with social distancing requirements from Gov. Eric Holcomb. Citizens can also observe meetings via the videoconferencing application Zoom, but no one utilized the tool to make a public comment during Wednesday’s meeting.

City officials say the project is necessary in order to comply with requirements from the Indiana Department of Environmental Management. IDEM requirements have shifted to limit the amount of phosphorous allowed in wastewater, which the Greenfield plant is not set up to adequately process. The growth of the city also means the plant is meeting or exceeding its capacity.

Without upgrades, director of utilities Mike Fruth said, the city could face extensive fines and could be banned from adding new sewer connections.

The increase will raise customers’ utility fees in three steps over the next two years.

The increases will be in effect for at least the 20-year term of the proposed bonds.

The first step up will set the rate per 1,000 gallons at $4.42, the second at $5.22 and the third at $5.90. The base service charges for meters of all sizes would also increase at each step.

A small residential customer using 1,000 gallons of water in a month will see their rates increase from $19.77 currently to $36.89 in 2022, an increase of approximately 87 percent.

A larger residential customer using 4,000 gallons per month, about average for the city, will see an increase from $29.25 to $54.58.

According to data provided by the Greenfield Utility Department, the increase will put the city’s fees closer to rates in other communities. Indianapolis residents, for example, pay approximately $53.39 for 4,000 gallons. Customers in Westfield pay approximately $55.80 for 4,000 gallons. According to

Rates vary across Hancock County. A 4,000-gallon consumer pays about $45.20 per month in McCordsville, $48.00 in Fortville, and $67.00 in New Palestine.

Growth in both residential and industrial use of wastewater has necessitated a higher capacity, Fruth said. He said industrial facilities that use more water will see more of an increase, and connection fees for new users are being doubled.

“We’re trying to shift as much of that burden to future customers as we possibly can, while still being in a position to issue bonds,” Fruth said.