Packed meeting over proposed Owosso water rate hike: ‘People can’t afford it’

OWOSSO, Mich. (WNEM) — Owosso High School was packed with people Monday night, April 21, wondering about a major increase proposed for their water bills.

The city is proposing a new rate structure to help pay for more than $207 million in critical infrastructure improvements, which include:

• $79.2 million for upgrades to the city’s wastewater treatment plant
• $8.8 million for sewer collection system improvements
• $119.7 million for water system upgrades

To do that, the plan would raise quarterly bills by 167% over the next five years.

But residents told TV5’s Trae Harris they can’t afford that.

It was supposed to be your routine city council meeting at City Hall, but so many people planned to show up, they had to move it to the high school’s performing arts center.

The reason? A proposal that could change how everyone in Owosso pays for water.

“We live in a town that we’re already taxed to death on property taxes, and our water bill and our utilities are already way out of line,” said Steven Milks, a resident of Owosso.

Under the current structure, people living in Owosso pay a base fee, about $30 a month, and then usage on top of that. But under the city’s proposed plan, that base fee would rise significantly to cover more of the fixed costs of maintaining and upgrading, something many in the community seem to be unhappy about.

“I paid a bill the other day, $168, which I don’t complain about. But if it goes higher, way higher, like they’re talking, it’s going to be a lot of people mad,” said Denise Bliss, an Owosso resident.

If approved, the new model would bump the base fee to just over $54 per month, and that’s before usage. The city said it needs the change to make sure it can fund long-term infrastructure improvements, even when people use less water.

“With this type of increase going on, we want to retire someday. And with increases like this, it’s going to be, ‘Do we pay our water bill, or do we buy our prescriptions, or do we buy food?’ We’re not given much of a choice here,” Milks said.

Officials say Owosso’s rates haven’t kept up with inflation or system demands, and even with past increases, they say the city still falls below the state average for similarly sized communities.

The plan lays out a five-year roadmap, locking in rates through 2029 to provide predictability. The city’s goal is to generate stable revenue for replacing water mains, upgrading aging lines, and improving overall system reliability.

“Inflation is inflation. I mean it’s hitting our pockets really hard, retirees especially,” said Bliss.

“The city has let these problems go for so long without any upkeep on the systems, and now it’s our problem. I think that the city council should be held responsible,” Milks said.

City officials say no final decision has been made, and they’ll be weighing public input heavily before taking any vote. And with two other reduced alternatives proposed, many in attendance Monday night say, find another solution.

“There’s other ways they can go about raising the money. Maybe through grants or any other way, but the people can’t afford it,” said resident Ken Lemos.

City officials will host a town hall meeting on Wednesday, April 23, in the same location inside the high school’s performing arts center, starting at 6:30 p.m. They plan to decide on the proposed plan on May 7.

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