The city of Whitefish is reviewing its water and wastewater financial plan and rate structure.

The study is designed to prepare the city for new regulatory standards expected to be implemented by the Montana Department of Environmental Quality. The city’s existing wastewater treatment plant is not expected to meet the new standards, according to the city.

“A new treatment facility will be required under a mandated compliance schedule in future years,” Finance Director Dana Smith said. “The exact timing and extent of the required improvements is unknown at this time, but are expected to be provided later this year.”

Smith said the study is an important step to determine the future funding for the potential upgrades and for other future projects.

City Council on May 4 approved a contract with AE2S engineering up to $69,900 to conduct the analysis of the city’s system.

The study is expected to include a rate structure analysis including the review for compliance with state law, capital project financing analysis and recommendations for the city moving forward.

The study will review the current water and wastewater rate structure and look at the advantages and disadvantages of the structure. In addition, it will outline rate structure alternatives.

“The project also provides the city an opportunity to have the rate structure reviewed to ensure the city is charging fair and equitable rates to all users of the water and/or wastewater systems,” Smith said.