Dolores Approves Rate Increases, Secures Funding for Major Water Overhaul

After a public hearing on November 21, the Dolores Board of Trustees adopted new water and sewer rates that will take effect in January and rise through 2030 to fund an urgent multi phase replacement of aging water mains. The project, estimated at $4.3 million for the main line work in Phase 2, targets original 75 year old pipes that town staff said have caused frequent breaks and outages for residents and businesses.

Town Manager Leigh Reeves and staff framed the rate increases as necessary to secure a State Revolving Fund loan and to meet the loan's debt service coverage requirements. The SRF loan will provide low interest financing that officials said could make the project far less costly than if work were postponed. The town has secured a 50 percent match for the design portion from the Department of Local Affairs and engineering is roughly 90 percent complete as officials prepare bids and loan paperwork.

Key changes include the in town water base for 5,000 gallons rising from $44.34 to $47.00 effective January 1, 2026, and out of town water for the same usage rising from $58.26 to $61.76 on that date. Additional scheduled increases will apply to base rates and tiered usage charges at 5 percent in 2027, 4 percent in 2028, and 3 percent in both 2029 and 2030. Sewer charges in town will move from $38.35 to $39.50 in 2026, then increase by 3 percent each year from 2027 through 2030. A senior discount will remain, though senior bills will increase modestly under the new rates.

Officials said the work will convert the system from a spur layout with dead end lines to a closed system to improve pressure, circulation and water quality and to better support fire protection. Bids for contractors are expected in early 2026, with construction aimed to begin in spring. For Dolores residents, the changes mean higher monthly bills but also a long term investment in reliable service, public safety and reduced risk of costly emergency repairs.