Lake Zurich village trustees voted to not only increase the town’s tax levy but also charge more for water and sewer services.

The water and sewer rate hike will help pay for an ambitious plan to switch the source of Lake Zurich water from ground wells to Lake Michigan, as well as pipe repairs and normal day-to-day system upkeep, officials explained.

Some $5 million has been budgeted for the Lake Michigan water project, a plan that has been years in coming and, as officials pointed out at the Dec. 4 Village Board meeting, the rate hike now could save customers money over the long term.

The new sewer budget includes about $4 million for needed pipe upkeep. The rate increases are effective Jan. 1, 2024 and Jan. 1, 2025, with some increases expected until 2028. For 2024 and 2025, rates will rise by 3% plus $3 per 1,000 gallons of water used per property. From then, the $3 per 1,000 gallons increase will continue annually until 2028 or until the rate reaches $15 per 1,000 gallons of water used, according to village documents.

The town will be required to begin debt repayment in 2028 on loans related to the Lake Michigan water supply, so the annual rate increases will be used, in part, to get ahead of those payments, village officials explained.

“This schedule may be adjusted in the future to reflect non-home rule sales taxes or other revenues that may be applied to the project, as well as any cost savings realized during project implementation,” Trustee Marc Spacone said twice.

Village Manager Ray Keller said he remained hopeful the ultimate repayment cost will be less than anticipated.

“Hopefully … we’ll be reducing the cost we will be paying in 2028,” he said.

Mayor Thomas Poynton said the proposed increases, as well as the water plan, have long been discussed publicly. And, the mayor pointed out, information about the Lake Michigan water project is online. He asked residents to address concerns to him or village employees directly instead of posting on social media.

“If anyone has any questions, I’d appreciate it if you didn’t address it to the board or to the staff on Facebook,” Poynton said. “Pick up the phone, call me, call Ray or anybody. You’re much more likely to get an answer that way than on Facebook.”

Finally, the board passed the village budget for next fiscal year with an increase in the tax levy, as expected. The spending plan includes paying debt obligations and for what has been deemed necessary upgrades of public spaces and pension funds — the latter being a legally obligated expense.

The board discussed the increased tax levy in length in November, so trustees had little to discuss at this December meeting. However, the mayor stressed it was a difficult process for every village department.

“This has been a challenging financial year for the village and a challenging process,” Poynton said. “Nobody is getting everything they want.”

Jesse Wright is a freelancer.