Pierre updates water rate ordinance to help pay for Euclid Avenue water main construction project

January 24, 2025:

The Pierre City Commission approved updates to the city’s water fee ordinance and wastewater ordinance at this week’s meeting (Jan. 21, 2025).

To fund the replacement of more than 8,000 feet of water main and associated infrastructure located under Euclid Ave., the city is adding a $4.50 per month, per customer surcharge to water bills. The surcharge is a condition of the state loan used to finance the $5-million project.

The surcharge will become effective July 1 and automatically sunset upon satisfaction of the loan.

Additional ordinance updates clarified ordinance intent and do not impact utility billings.

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January 15, 2025:

The Pierre City Commission has taken another step (Jan. 14, 2025) toward assessing a surcharge to fund its approximately $5-million portion of the Highway 14/Euclid Avenue rebuilding project scheduled to start this spring.

City Engineer Nick Waters says to fund the replacement of more than 8000 feet of water main and associated infrastructure, Pierre secured a loan from the South Dakota Department of Agriculture and Natural Resources. He says one of the state-mandated conditions of that loan is that the city must implement a surcharge to water customers.

Waters says the $4.50 surcharge is being incorporated into the city’s water rate schedule.

Although the South Dakota Department of Transportation is leading the reconstruction project, Waters says it provides an opportune time to update and replace the 50 to 100-year-old infrastructure located in the highway. He says the Euclid water main is an essential piece of the infrastructure serving the entire town.

Pierre City Finance Director Lacey Walz says the new ordinance also corrects a mistake in the rate amount that had been included in the previous ordinance.

The surcharge would become effective July 1, 2025, and would automatically end upon repayment of the loan.

The ordinance change will be back in front of the Pierre City Commission for consideration and final action at their Jan. 21 meeting.

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WRITTEN VERSION:

The Pierre City Commission has taken another step (Jan. 14, 2025) toward assessing a surcharge to fund its approximately $5-million portion of the Highway 14/Euclid Avenue rebuilding project scheduled to start this spring.

Although the South Dakota Department of Transportation is leading the reconstruction project, City Engineer Nick Waters says it provides an opportune time to update and replace the 50 to 100-year-old infrastructure located in the highway. He says the Euclid water main is an essential piece of the infrastructure serving the entire town.

To fund the replacement of more than 8,000 feet of water main and associated infrastructure, Pierre secured a loan from the South Dakota Department of Agriculture and Natural Resources. Waters says one of the state-mandated conditions of that loan is that the city must implement a surcharge of $4.50 per month to every water customer.

The surcharge would become effective July 1, 2025, and would automatically end upon repayment of the loan. The ordinance change will be back in front of the Pierre City Commission for consideration and final action at their Jan. 21 meeting.

Pierre held a public hearing on the assessment back in November (Nov. 5, 2024).