Village of Hampshire Rate & Fee Increases FAQ

These FAQs provide insight into the reasons behind needed increases for water and sewer rates, and water and sewer capital improvement fees, and the benefits they will bring to the Village of Hampshire. For further information or inquiries, please email utilitymasterplan@hampshireil.org.

 
ADDITIONS TO FAQ PAGE FOR WATER/SEWER RATE AND CAPITAL IMPROVEMENT FEE INCREASES
In response to recent questions regarding increases to water and sewer rates, and capital infrastructure fees that went into effect for the July 2 utility bills, please see additions to our FAQ page below. Please note: This page was updated on July 11, 2024, and the FAQs below this update have been live on this web page since late April of 2024, after the Village Board approved the increases.

Issues with your meter or pressure? If you see the word "ESTIMATE" on your bill, contact the Village at 847-683-2181 at extension 22. If the meter reading is estimated, this indicates the Village is unable to get an automatic reading. It may be as simple as a loose wire. The Village will investigate the reason why an estimate was required. Water pressure issues should be directed to the Utility Division at 847-683-2064.

How did the Village communicate information about increases to the water and sewer rate and capital infrastructure fees? Since the Village Board approved these increases in April, numerous communications have been sent digitally, as well as two newsletters that were delivered to all Hampshire residences. You can find a breakdown of all communication channels utilized here. Included in these communications was a utility bill calculator to help residents see what their bill would be with the increases, which were also discussed in multiple budget committee meetings and Village Board meetings (which are recorded). A notice of these meetings and their agendas are posted physically at Village Hall and digitally on the Village’s website at least 48 hours prior to meetings.

What water and sewer capital infrastructure needs will be addressed with the rate and fee increases? There are many infrastructure improvements needed, due to previous administrations that did not allocate funding to address aging infrastructure. All needed maintenance is included in the Utility Master Plan, which necessitates $50 million in needed improvements. A current project includes UV treatment of wastewater at a cost of $700K, that ensures water is properly cleaned and sanitized before being released into the creek. The completed media exchange project at Well #9's drinking water treatment plant came at a cost of $153K. You can find the complete plan at Comprehensive Water & Wastewater Utility Master Planning Presentation.

Will recent increases ever be repealed? For the foreseeable future, the increases will stay in effect, but the Village Board is constantly evaluating how community services are funded and looks to reduce the financial burden on community members whenever possible.   

On the July 2 Utility Bill that reflects the increases, is there a new line item? The increase to the capital improvement fee for water was $20.00 per billing cycle, and the increase to the capital improvement fee for sewer was $10.00 per billing cycle. Assuming the customer receives both water and sewer service, the prior bills had a single line item "Capital Improvement $20.00." Current bills have two lines: "Capital Improvement - Water $30.00" and "Capital Improvement - Sewer $20.00."

Why are the increases necessary? New funding sources were needed due to more than $50M in current water and sewer infrastructure that needs to be updated over the next 20-25 years.

Will the increases cover new developments? No. Developers are required to cover the cost of infrastructure for their new development. All residents and commercial users, including those in new developments, pay the same capital improvement charges, as the improvements will service the entire community.
 
Please see previous FAQs below that were originally published on this web page shortly after the Village Board approved the rate and fee increases in mid-April 2024.

What specific needs are these rate and fee increases addressing? These increases will support essential improvements for the Village’s water and sewer infrastructure. Many of these systems have reached the end of their useful life, necessitating replacement or rehabilitation to prevent future water main breaks, boil orders, service interruptions and equipment failures. They are critical to ensure the entire community has access to clean, healthy drinking water and effective sewer treatment to avoid any contamination. Additionally, funds to replace and properly maintain these systems will contribute to the value of all Village properties well into the future.


What specific infrastructure needs are these rate increases addressing? The rate increases are aimed at addressing increased operating costs for water and sewer systems and replacement of aging infrastructure. These include upgrading aging pipes, enhancing water treatment facilities, improving sewer/wastewater treatment processes, and investing in preventative maintenance to reduce the risk of service disruptions. In addition, the Village plans to upgrade 2.652 miles of 4" and 3.977 miles of 6" water mains to ensure consistent service, water flow, and pressure.

Has the Village sought funding or grants for these Utility repairs? Yes, the Village pursued state and federal grants and other funding sources prior to instating rate and fee increases. With the Village’s median income being higher than the county median income, Hampshire was not eligible for those programs. The Village has applied for, and received federal funds for infrastructure costs, including $1.3 million for a one-mile water line and $600,000 for flood remediation. Without these funds, the Village would have had to cover those costs. 

When will the improvements begin? The Village will begin improvements in the water and sewer system in May 2024, the start of Fiscal Year 2025.

Where will these improvements be made? Improvements will include rehabilitation of one of the Village's well pumps, preliminary engineering of a drinking water treatment plant to add redundancy to the water system, installation of surge protection devices to safeguard system assets, and design and construction of a new UV disinfection system at the wastewater treatment plant.

How were the new rates determined? Village Engineers completed a Utility Rate Study in conjunction with a Master Utility Plan which determined that current rates are insufficient to support needed infrastructure improvements. As a result, the Village is adjusting water and sewer rates and fees accordingly.

What are the specific increases?

  • Water Rate: Increasing from $5.67 per 1,000 gallons to $6.24.
  • Sewer Rate: Increasing from $7.07 per 1,000 gallons to $7.30.
  • Water Capital Improvement Fee: Increasing from $10 bi-monthly to $30 bi-monthly.
  • Sewer Capital Improvement Fee: Increasing from $10 bi-monthly to $20 bi-monthly.

What is the estimated impact on homeowners? For an average home using 11,000 gallons of water bi-monthly, the total estimated impact is $19.83 per month/$237.96 per year.

When will the new rates and fees take effect? New rates and fees take effect May 1, 2024 and homeowners will see the increases on their July 1, 2024, bill.

Is this increase due to all the new developments in Hampshire? No. In fact, when new projects come to town, developers cover all infrastructure costs, including connections to the Village’s water and sewer systems, new water and sewer lines and fire hydrants.

How does Hampshire compare to other towns relating to water/sewer rates and capital fees?

Community Usage, 1000 gallons for calc. Water Rate Water Fees Water Bill Sewer Rate Sewer Fees Sewer Bill Total Bi-Monthly Water & Sewer Bill Minimum Bill
Huntley - today 11 $4.66 $6.25 $57.51 $6.16 $5.50 $73.26 $130.77 $44.21
Genoa 2024-2025 11 $3.95 $18.00 $61.45 $4.85 $30.00 $83.35 $144.80 $48.00
Hampshire - today 11 $5.67 $10.00 $72.37 $7.07 $11.00 $88.77 $161.14 $21.00
Gilberts - today 11 $6.50 $10.00 $81.50 $6.50 $10.00 $81.50 $163.00 $33.00
Pingree Grove - today 11 $3.66 $60.41 $100.67 $4.87 $29.59 $83.16 $183.83 $98.53
Hampshire 2024-2025 11 $6.24 $30.00 $98.64 $7.30 $21.00 $101.30 $199.94 $51.00
Elburn - today 11 $5.91 $15.00 $80.01 $9.99 $15.00 $124.89 $204.90 $30.00
Elburn 2024-2025 11 $6.11 $15.00 $82.21 $10.32 $15.00 $128.52 $210.73 $30.00

*All calculations have been completed on bi-monthly basis regardless of the billing schedule of the municipalities’ actual billing schedule, and “fees” are inclusive of capital, cross-connections, meter, and other non-rate related charges.

What are the benefits of these infrastructure improvements? These investments will ensure Hampshire continues to be a desirable place to live, work and raise a family, with top-tier services for all community members. Improvements will fortify the Village's infrastructure for years to come, ensuring planned maintenance can take place, instead of costly emergency repairs that also threaten service reliability. Additionally, residents will experience upgrades in areas of town with aging infrastructure, such as Terwilliger Avenue and Edgewood Avenue, to reduce or eliminate water main breaks, prevent boil orders, and improve overall service reliability. Road improvements will also take place and will be coordinated with water main replacements below them, in targeted areas.

Did the Village look at other alternatives to cover these growing costs? Yes. The Village consistently seeks creative ways to keep costs down, and avoid increases, whether they be for service delivery or through property taxes. Examples include the Public Works Department performing maintenance and refurbishing of existing water and sewer system infrastructure, instead of purchasing new and/or hiring outside consultants, which has saved the Village considerable funds. This effort and countless others have balanced the need for improvements while minimizing financial impacts on residents. For the water and sewer system improvements, it was determined after careful consideration and thorough due diligence, that the rate increases were the best way to fully fund these needed improvements for the betterment of the community.

How can residents learn more and stay informed about ongoing improvements? The Village will share information through our newsletters and social media platforms about these changes and upcoming improvement projects, in addition to hosting a public open house Thursday, May 9, 2024, from 4 – 7 p.m. at the Village of Hampshire Utilities Facility at 350 Mill Avenue. Representatives from the Village Administration, the Public Works Department, and professional consultants will be present to provide information and answer any questions community members may have about the Village’s water and sewer systems and planned improvements and upgrades.

The Village will be sharing information about the rate and fee increases through its Facebook and Instagram pages, as well as the E-Newsletter. If you're not signed up yet for the E-Newsletter, you can sign up here

Other Information

1. Comprehensive Water & Wastewater Utility Master Planning Presentation


Questions, comments or feedback can be emailed to utilitymasterplan@hampshireil.org