This bill establishes a maximum allowable increase for sewer service rates charged by governmental entities, including counties and cities. Specifically, the aggregate rates and charges for sewer services cannot exceed the lower of 102% of the previous year's rates or the percentage increase in the consumer price index for the Midwest region. Additionally, any planned increases for debt repayment incurred before July 1, 2025, are excluded from these limits. If the proposed rate increases exceed the established limits, they will only take effect at the start of the budget year, contingent upon voter approval in the next general election.

Furthermore, the bill mandates that if voters reject the proposed rate increases, any excess charges collected from customers since the beginning of the current budget year must be refunded by January 1 following the general election. This legislative measure aims to provide a framework for managing sewer service rates while ensuring that any significant increases are subject to public approval, thereby promoting transparency and accountability in local government financial practices.

Statutes affected:
Introduced: 331.465, 331.461, 358C.15, 384.84