SOUTH MILWAUKEE, Wis. — A proposed water rate increase in South Milwaukee has local business owners worried about the impact on their bottom line.
The South Milwaukee Water Utility has applied with the Public Service Commission of Wisconsin to increase water rates. The utility is hoping to raise total revenue by almost $1 million to cover the cost of replacing lead service lines and parts of the water transmission line.
For small businesses already operating on thin margins, the potential 20% increase could have significant consequences.
At Parkway Floral on 10th and Milwaukee, co-owner Leah Minue maintains hundreds of plants that require substantial water.
The shop's quarterly water bill currently runs about $400, and could see a significant jump if the rate increase is approved.
"Any little bit hits the bottom line, and we already have such a thin profit margin, especially because we are getting hit with certain tariffs and things like that too, we're getting hit from all the angles, to be honest," Minue said.
Down the street at Barbiere's Italian Inn, owner Matt Willers shares similar concerns about how the increase would affect his business and customers.
"Well, I'm gonna have to raise my prices, and it's hard to say you're going to do that to a community that's already getting taxed themselves. Now you're asking for a chunk of that to pay your costs," Willers said.
The South Milwaukee Water Utility stated its goal is to minimize out-of-pocket costs while maximizing public investment in long-term community health.
Despite the potential financial impact, Minue, who recycles as much water as possible to be sustainable, expressed support for necessary improvements.
Watch: South Milwaukee business owners worry about proposed water rate increase
"I just want what's best for the community, so if the increase is necessary because of facility upgrades or health and safety standards, then that's the way it needs to be," Minue said.
The Public Service Commission will hold a public hearing on the proposed rate increase on June 10 on Zoom and on YouTube.
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