Photo: Zach Den Adel (flickr)
City of Bloomington Utilities customers will notice a rate increase on their September water bills, but it will be lower than expected.
The utility says it only needs a rate increase of 20.06 percent instead of its initial proposed rate of 22 percent. The change in rate comes after the a competitive bid for 2017 waterworks revenue bonds resulted in debt service payments that are about $13,000 lower that initially estimated.
The rate increase means customers will pay $3.73 per 1,000 gallons of water, up from $3.11.
The money will help pay for water infrastructure upgrades, including new plant equipment and laboratory supplies.
“One of city government’s most basic functions is to deliver high quality water to all our residents and customers,” said Bloomington Mayor John Hamilton in a statement. “This new investment is critical to meeting that obligation efficiently and for years to come.”
Crews will start working on the city’s water main replacement program in the coming months. The utility will also install advanced meters, which can be monitored remotely and alert customers to potential leaks.