Zionsville Town Council considers residential wastewater rate hike

Zionsville residents could see their monthly sewer rate increase next year for the first time in 14 years.

The Zionsville Town Council on Monday night heard an introduction of an ordinance that would increase the monthly residential wastewater rate to $56.85 per month. That would represent a 27.75% increase from the current rate of $44.50 per month that went into effect in 2010. Ratepayers would pay $148 more per year.

Director of Public Works Lance Lantz told council members that the residents would pay a flat rate rather than one based on how much wastewater a household uses each month. Residents would first see the rate increase in February.

Last month, Lantz gave a presentation to the council about a rate study performed by Chicago-based Crowe LLP—the town’s municipal adviser—and explained that rate increases should be considered every two to four years to avoid large increases.

“The philosophy, or perhaps, the reluctance, of past administrations was just to avoid this at all costs because they are not pleasant,” he said last month. “But you can only kick things so far down the road before you absolutely need to modernize your operations and pay for your expenses. So, here we are.”

If councilors approve the rate increase, Zionsville would have the fifth-highest residential sewer rate among cities and towns that are either in Boone County or neighbor Boone County. Communities with higher rates than the one proposed in Zionsville are Indianapolis ($64.60), Whitestown ($62.14), Lawrence ($60.26 beginning in 2025) and Pittsboro ($59.51), according to Crowe’s study.

The rate increase, which would increase revenue by about $900,000, would be one funding source used for a $21.5 million capital improvement plan to make upgrades to Zionsville’s municipal wastewater facility, which was built in 1985 and still has some original equipment that is now obsolete.

Crowe Managing Director Jennifer Wilson told the council last month that the firm recommends that the town issue a $6.8 million bond next year to pay for upgrades to the facility.

Last year, Indianapolis-based Commonwealth Engineers Inc. conducted a preliminary design study that determined the cost to make needed improvements to Zionsville’s wastewater facility.

“This is like trying to hook up your Atari to a smart TV right now,” Lantz said. “They don’t even make some of these connections anymore for some of this equipment to talk to each other.”

Lantz said the upgrades would take place over 10 years and increase the facility’s dry weather wastewater capacity from 2 million to 2.5 million gallons per day and its wet weather wastewater capacity from 4 million to 7 million gallons per day.

The council could vote on the wastewater rate ordinance at its next meeting, on Dec. 16.