Muskegon Commission approves 10% water rate increase for fiscal year 2025

February 08, 2025 | Muskegon City, Muskegon County, Michigan


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Muskegon Commission approves 10% water rate increase for fiscal year 2025
The February 8, 2025, Muskegon City Commissioners meeting addressed several key agenda items, focusing on a concession agreement for beach services and proposed changes to water and sewer rates for the upcoming fiscal year.

The meeting began with a discussion regarding a concession agreement for beach services. Commissioners expressed confidence in the Parks and Recreation staff to collaborate with the applicant to ensure a smooth operation. It was noted that adjustments would be made throughout the season based on feedback and experiences from the first weekend of service. Commissioner Kugel raised questions about operational boundaries for the concessionaire, emphasizing the importance of clear communication with customers regarding designated areas for services. The applicant confirmed plans to use signage and marketing strategies to promote their offerings effectively.

Following this discussion, the meeting shifted to the topic of water and sewer rate changes for the fiscal year from July 1, 2025, to June 30, 2026. Commissioner Cochin moved to adopt the proposed resolutions, which were supported by Vice Mayor Saint Clair. Dan Vanderheide, the Director of Public Works, provided an overview of the proposed rate adjustments. He explained that a 10% increase in the water commodity rate was necessary to support operational and capital needs, raising the rate from $2.27 to $2.50 per unit. Despite this increase, the overall impact on the average bill would be less than 5%, translating to an approximate increase of $1.84 per month for residents.

Additionally, Vanderheide highlighted a planned increase of 15 cents per month for the debt service charge, which funds bonded projects related to water and sewer infrastructure improvements. This charge aims to enhance transparency regarding the costs associated with specific projects, such as lead service line replacements and water main upgrades.

The meeting concluded with a successful vote on both the concession agreement and the water and sewer rate changes, reflecting the commission's commitment to maintaining essential services while adapting to community needs.

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