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Water Base Rate Adjustment

City Staff, in response to USDA / Rural Development (USDA/RD) loan requirements, determined a new water rate effective January 2020. These water rate adjustments ensure the City can pay its loan back and not default. USDA/RD requires a City accepting its funding prove that it has the required resources to pay back the loan with interest.


Initial estimates with USDA/RD were that monthly base rate would increase by $21 in three years. The City, with USDA/RD, has worked out a plan that raises the monthly base rates only $15 in three years - saving you money! How did we determine our rates? Please click on the link below, to see the City's calculations in meeting this USDA/RD loan obligation requirement. 

Why did we take a loan that requires the City to raise rates? The City did this to obtain funding to repair and renovate its water infrastructure. This is a $5.579 Million project, about which the Mayor has described in multiple City Council Meetings. It is important to note that the City took a loan on only $1.635 Million of the total, meaning Amity received over $3.9 Million in grant funding. An incredible amount of money for a project of this magnitude! 

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