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Meeting to discuss potential water rate increase

by Bob Henline
| November 4, 2014 1:49 PM

A public hearing will address the potential increase in city water prices. 

On Nov. 17 the Libby City Council will hold a hearing to discuss the council’s proposal to increase city water rates in order to pay for a $3.7 million bond to replace the Flower Creek Dam. The council passed a resolution of intention to increase water rates at the council’s Oct. 22 meeting. The aging dam has been deemed by the Montana Department of Natural Resources and Conservation to be so deteriorated that it no longer meets minimum safety requirements.

According to Libby Mayor Doug Roll, the city investigated several different options for city water following the ruling, including pumping directly from the river and drilling wells, but replacing the aging dam was the best available option. The new dam is estimated to cost $11 million, per city administrator Jim Hammons. The remainder of the funding will come from grants and other sources.

The council’s proposal will increase the base water rate for users inside city limits to $45.25 and to $56.60 for those outside city limits with a service line of three-quarters of an inch in diameter or less. Currently, city residents pay a base rate of $33.00 per month and an additional $2.96 per 1,000 gallons used in excess of 3,000 gallons. Under the new proposal, users will continue to pay $2.96 per 1,000 gallons used or a proportional amount for water used