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Okoboji Council Opts Not To Use Property Taxes To Fund Water Plant Project

November 22, 2014

(Okoboji)– The Okoboji city council Wednesday spent a portion of its meeting talking about how the city will finance its share of the cost to upgrade Central Water System’s water treatment plant.

Okoboji’s share was originally estimated at just under six million dollars. City Administrator Dennis Daly told the council several possible options were being explored, including one that would use property taxes. Daly says the recommendation was based on the fact that many non-resident property tax payers put the additional strain on water demand during the summer months. But, after further consideration, Daly recommended the council not pursue that option. Instead, he recommended a 50-50 increase on rates: both the base rate and usage fees. Council members agreed that’s the option that should be pursued, saying it’s more fair. They’ll decide in upcoming meetings over just how much those rates will increase to cover the cost.

The Central Water Plant project has an estimated cost of just under 15 million dollars, of which Arnolds Park and Clay Regional Water, who also purchase water from the plant, will help pay.