WAUKESHA — The good news on the SMÌìµØÂÛ̳ water front is that the project to connect the city to Lake Michigan water, called the Great Water Alliance, is on track to be completed on time and on budget.
The bad news, though, is that it'll be costly, with rates for the typical user to rise about 50% in the next four years, according to a press release issued by the SMÌìµØÂÛ̳ Water Utility on Friday.
With typical residential users using about 4,000 gallons of water a month, rates that account for the water, return flow and wastewater charges will go from $102 a month, to $117 per month in October 2023, rising to $135 per month in October 2024, to $147 a month in January 2026 and to $154 a month in January 2027, the release said.
The city is expected to switch to Lake Michigan water later this summer, after a network of 38 miles of supply lines to and from Milwaukee, as well as booster pumping stations in both cities, as well as an elevated water tower, and a return flow pump station is completed that will allow the city to get water from Milwaukee and return it after use and treatment. The estimated cost was $286 million, but Duchniak said final costs should be slightly less.
Dan Duchniak, general manager of the SMÌìµØÂÛ̳ Water Utility said the water rates are set by the state Public Service Commission and are in line with what the city estimated at the start of the project in 2016.
"It is important for customers to understand that this required notice is only about the water supply rates being determined by the PSC," Duchniak said. "Those rates will likely take effect in October of 2023 and 2024, as the costs of the new water supply construction is accounted for. The wastewater and return flow charges on your bill are not expected to increase at those times. That means the percentage increase shown on the bill insert only applies to the water supply portion of your bill; the total bill will not increase by that large of a percentage."
The move is necessary due to federal guidelines governing radium, a naturally occurring radioactive element, in SMÌìµØÂÛ̳'s groundwater and for long-term environmental stability.
Duchniak noted that some of the increasing costs of water can be offset by reducing water softening costs as Lake Michigan water is at least 60% softer than the city's groundwater.
"Lake Michigan water is at least 60% softer than our current groundwater." SMÌìµØÂÛ̳ Mayor Shawn Reilly said, "There was no do-nothing option. Our alternatives were thoroughly explored and the switch to Lake Michigan water was the most affordable alternative."
Reilly added the city has working to keep the costs in line, and has undertaken such efforts as getting low-cost financing that will reduce interest costs by about $1 million per year. A federal grant also is helping to pay for the cost of the new water tower. He noted the 2017 agreement to purchase water from Milwaukee will save the average residential ratepayer over $200 per year, compared to other suppliers.
"That will keep more than $4 million per year in the SMÌìµØÂÛ̳ economy," he said.
