The City Council  voted in favor of a  25 percent increase in sewer rates during its regular meeting on Monday, Dec. 4.

The council initially indicated support for the rate increase during its work session on Nov. 20.

Recent changes in regulations of wastewater treatment, passed by the Minnesota Pollution Control Agency, have rendered the Wastewater Treatment Plant in Austin in need of upgrades that will cost the city $55 million. The upgrades largely target the discharge from the plant and are based on an analysis of Austin’s plant done by Minnesota Management and Budget.

The initial rate increase will be followed by a 7 percent increase each year following. The balance of costs will be paid through a bond, existing funds and grants.

This year, the average residence is being charged about $28 a month for the service, and that cost will be increased to about $35 a month in 2018, according to documents prepared by public works director Steven Lang.

The priciest of the treatment plant upgrades are $12 million for a nitrification building, scheduled to be built in 2020; $7 million for high-rate filters, estimated for repair and replacement in 2019; and $6 million improvements to the industrial facility, which needs upgrades to meet current fire codes and for more efficient digester heating, which are now overloaded. That construction is scheduled for 2022.

In late April, City Administrator Craig Clark sent a letter to Minnesota Pollution Control Agency Commissioner John Stine concerning the Minnesota Management and Budget’s findings. In his response, Stine stated that nearly 75 percent of the cost involved chloride treatment. He acknowledged “the treatment technology currently available to remove chloride from wastewater is cost-prohibitive for most municipalities,” and that he was “committed to implementing an approach that facilitates environmental progress and innovation while recognizing current economic restraints.”

In May, Austin city leaders joined the Coalition of Greater Minnesota Cities in lobbying the state legislature, urging the passage of a bonding bill to help pay for upgrades to the wastewater treatment facility. At the time, it was feared that sewer rate increases could go up as much as 182 percent.

The project will cover six years, covering a section of the city each year. The southeast and the northeast are scheduled in 2018. Subsequent years will include the balance of the northeast (2019), south central and fairgrounds (2020), north central (2021), and southwest Turtle Creek and northwest (2022).

Starting Jan. 1, 2018, residents will be charged a fixed connection fee of $11.48 per month for each meter used and $2.94 per 100 cubic feet of water metered per month. It will increase as follows:

• Jan. 1, 2019 – $12.28 per month for each meter used and $3.14 per 100 cubic feet metered per month;

• Jan. 1, 2020 – $13.14 per month for each meter used and $3.36 per 100 cubic feet metered per month;

• Jan. 1, 2021 – $14.06 per month for each meter used and $3.60 per 100 cubic feet metered per month;

• Jan. 1, 2022 – $15.04 per month for each meter used and $3.85 per 100 cubic feet metered per month; and

• Jan. 1, 2023 – $16.09 per month for each meter used and $4.12 per 100 cubic feet metered per month.