Decatur IN – The Decatur City Council held a public hearing on June 2 to receive public input on proposed amendments to the city’s water rate structure. The changes are tied to a major water infrastructure project required under a federal mandate to remove lead service lines throughout the system.
City officials said the project is unavoidable and must be completed within the federal timeline. They explained that the city secured a funding package through the state revolving loan program that includes $5.5 million in grant funding, $2.5 million in interest‑free loans, and a 35‑year loan at an interest rate of 2.98%. The loan closing is scheduled for June 25, and the city will begin making payments at that time.
Construction cannot begin until at least July. Officials said the work will continue through next year and involves four separate contracts that must be coordinated. They told residents that any yards or surfaces disturbed during construction will be restored by the contractors.
Several residents asked whether their streets were included in the project area. Officials listed Monroe Street, Adams Street, Elm Street, 7th through 11th streets, Homestead, High Street, and Winchester Road as the primary locations. They added that some additional service lines may be included because bids came in lower than expected.
Multiple residents raised concerns about the city’s minimum water bill. One resident said they use less water than the minimum amount but still pay the full minimum charge. Officials responded that the minimum usage level was set decades ago and applies to all customers.
Another resident asked about the difference between utility fees and tax dollars. Council members said state rules prohibit mixing the two, and funds used for parks or road projects cannot be redirected to water infrastructure.
Officials said the minimum in‑town water bill would increase by about $6, while households that use more than the minimum amount would see an average increase of roughly $10 per month. They emphasized that the rate study does not include any additional funding beyond what is required to cover project costs and current operations.
Residents also asked about long‑term planning for aging water mains. Council members said the city has replaced more water lines in the past six to seven years than in the previous fifty and is working toward a more consistent maintenance program.
The hearing concluded with officials noting that a second public hearing is scheduled for June 16, when the council expects to take final action on the proposed rate amendments.