'A wake-up call': Major Hamilton County sewage project soars in cost amid tariffs

CINCINNATI (WKRC) — Hamilton County commissioners are calling it a wake-up call.

A major project upgrading part of the county’s sewage system will cost taxpayers millions more, and they say tariffs are to blame.

Along the Mill Creek in Lower Price Hill sits the Mill Creek Pump Station. It diverts water from the Mill Creek into the Ohio River to prevent flooding while also protecting the Mill Creek Wastewater Treatment Plant. The pump station needs an overhaul, and the Metropolitan Sewer District (MSD) has been planning construction on a new one for years.

“The project will replace the current pump stations that were constructed in the 50s and 80s. It will expand treatment capacity to 700 MGD to reduce the number of overflows of untreated wastewater,” an MSD representative said during the commissioners’ meeting.

Hamilton County commissioners previously approved $269 million for the project, but in August, MSD requested $50 million more.

“We hear sometimes from MSD about overruns, but this one was a lot and very dramatic,” said Commissioner Denise Driehaus.

Driehaus said $33 million of the additional cost is primarily because of tariffs on steel and market uncertainty.

“Many of these pump stations are built with concrete and steel,” Driehaus said.

In June, a major tariff hike imposed by President Trump took effect, doubling tariff rates on steel and aluminum from 25% to 50% for most countries.

“We’re no different than anybody else when we have to pay these tariffs on the goods that are coming in to help the projects,” said Driehaus.

Driehaus said this is the biggest impact of tariffs the county has seen so far. She noted that MSD projects are mandated by the government, but they’re not receiving funding for them.

“The shifting of responsibility to pay for the policies that are engaged at the national level—we’re paying for that,” Driehaus said. “So, we need to understand the impacts of these tariffs and what’s happening in the broad economy because it does have impacts for Hamilton County, and Hamilton County taxpayers are paying for some of those policy initiatives.”

Driehaus hopes customers won’t see significant rate increases because of these tariffs but said if MSD doesn’t raise rates to cover added costs, the county will likely have to delay or even cancel other projects.

County commissioners will consider whether additional rate increases are necessary later this year. MSD says it’s using a low-interest loan from the Ohio EPA to help fund the pump station project. The project is expected to take up to 8 years to complete.