In July 2024, Trempealeau Municipal Utilities (TMU) issued a request for proposals to nineteen engineering firms to create an Integrated Water and Wastewater Master Plan. This plan would assess the current state of our infrastructure, identify future needs, and provide a clear roadmap for sustainable utility management.

Three firms responded by the August 23 deadline, and Davy Engineering was ultimately selected to carry out the study.

Why Did We Do This Study?

TMU is committed to good management practices. By proactively assessing our systems, we can:

  • Plan ahead for future upgrades
  • Secure favorable financing and grant opportunities
  • Avoid emergency repairs that are costly and rushed
  • Maintain efficient, well-run utility operations

This study ensures we’re not caught off guard by infrastructure failures, saving residents money and protecting our community’s future.

What Did We Learn?

The integrated water and sewer master plan prepared by Davy Engineering found that our utility systems are generally in good condition. While there are immediate needs identified in Phase 1 projects, addressing these will position our community to handle future growth and development with confidence.

Phase 1: Key Projects

◊Water Treatment Plant (WTP) Upgrades – $405,000

This project clearly demonstrates the importance and value of conducting the master plan. While the study confirmed that the WTP is overall in good condition and will serve the community for decades to come, it also identified critical components that require attention. For example, the control panels are obsolete, and if they were to fail during an electrical surge, replacement parts would no longer be available. This underscores the need to address these issues proactively, ensuring we can secure the most favorable funding terms and grant opportunities rather than making emergency repairs under pressure.

Upgrades include:

  • New control panels

  • Refurbishment of the filter

  • Replacement of filter media

◊ 1st & 2nd Street Water Main Loop – $461,000 Sewer Main Replacement – $879,500

The sewer main along 1st and 2nd Streets is in poor condition, with sags, cracks, and leaking manholes. These issues cause clean water infiltration, raising treatment costs and consuming capacity at the Wastewater Treatment Plant (WWTP).

By integrating water and sewer projects in this area, we:

  • Prevent repeated street disruptions

  • Loop water mains to improve water quality, reliability, and fire protection

  • Extend the lifespan of our infrastructure

◊ Phosphorus Removal Chemical Feed System – $169,100

Increasingly strict phosphorus limits mean our WWTP will require a chemical feed system to meet future regulations.

◊ Water Quality Trading (WQT) Project – $150,000

Even with new chemical treatments, future phosphorus limits cannot be met alone. WQT allows us to partner with local landowners on conservation projects that offset our phosphorus discharges, creating a cost-effective, environmentally responsible solution.

◊ Reservoir Upgrades – $20,000

Minor deficiencies noted by the DNR will be addressed alongside these Phase 1 projects.

How Will We Pay for These Projects?

Funding will come from a mix of state loan programs and local borrowing:

Clean Water Fund Program (CWFP) and Safe Drinking Water Loan Program (SDWLP)

  • 2.2% interest rate over 20 years

  • Eligible to apply for up to 20% grant forgiveness

  • Phase 1 projects are highly ranked for these programs

Village General Fund

  • Will cover 80% of the street repaving costs (estimated at $461,752), since these aren’t eligible for utility loan funding

  • Funded through general obligation debt and general transportation aids

What Will the Impact Be on Residents?

These are preliminary estimates and may change based on final funding and bidding:

Residential water bills: +$4.05/month
Residential sewer bills: +$5.48/month
Property taxes: +$15/year for a $100,000 home (worst-case scenario)

Additional Considerations:

  • In 2024, the Water Utility suffered a net financial loss, requiring a simplified rate case application to the Public Service Commission (PSC) that resulted in a 3% increase in water rates for 2025. This financial strain reflects broader cost increases that go beyond the proposed Phase 1 projects.

  • Given these circumstances, the Water Utility will pursue a comprehensive rate case application to the PSC to evaluate long-term impacts on water rates. Therefore, while the estimated increase for Phase 1 projects is helpful for planning, the ultimate impact on water bills may be higher.

  • The Sewer Utility, on the other hand, is in a strong financial position and already adjusts rates annually for inflation. It is possible that the sewer system can absorb the costs of Phase 1 projects without requiring additional adjustments beyond the current plan for annual small, inflation-based increases.

Regarding property tax impacts, there are still too many unknowns such as final bidding and borrowing terms, tax base growth, etc. to provide an exact estimate. However, using last year’s mill rate and assessed values, we project a worst-case scenario of an additional $15 per year for every $100,000 in home value.

Next Steps

A water and sewer committee meeting is planned for Wednesday July 9th at 7:00pm. Davy will present a summary of the suggested projects for Phase 1 and answer any additional questions the committee may have. The committee will consider recommendations to the Village board to act on these recommendations.

If you have questions or feedback, please contact us here.