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Lakeside Water and Sewer Board passes sewer rate increase

HANNAH SHIELDS | Hagadone News Network | UPDATED 7 months AGO
by HANNAH SHIELDS
RURAL GOVERNMENT REPORTER, REPORT FOR AMERICA Hannah Shields covers rural government and accountability reporting for the Daily Inter Lake and Northwest Montana weekly papers as part of the national Report for America program. Her reporting focuses on transparency, public spending and the impact of local government decisions on small communities. Shields has covered issues ranging from school district finances to development disputes and rural infrastructure projects. She regularly uses public records and investigative reporting to examine institutions that affect local residents. Her work helps bring greater oversight and visibility to rural government across Northwest Montana. IMPACT: Hannah’s work strengthens transparency and accountability in rural communities that often lack consistent watchdog coverage. | August 27, 2025 12:00 AM

A proposal to increase sewer rates in Lakeside by 61.7% was unanimously passed by members of the Lakeside County Water and Sewer Board on Thursday.  

Since 2022, the district has imposed an annual 5% increase in sewer rates to cover the cost of expanding its 40-year-old wastewater treatment system, which officials describe as near capacity. That annual bump also covered operational and maintenance costs. 

But sewer rates will go up by 61.7% this year with a new monthly flat rate of $78.62, starting in September. For non-compliance users, the monthly flat rate will go up by 37.9% to $109. 

The increased rates will cover the cost of improving the district’s wastewater system, ongoing operational expenses, debt service payments to outstanding bonds and future additional bonds, and establish appropriate reserves, according to a resolution adopted by the board in June.  

In discussion leading up to the Aug. 21 vote, board members said they followed all the necessary steps before implementing the new rate.  

“The mistake that we may have made over the years is that we waited too long to raise the rates,” said board President Marc Liechti. “We were surprised, certainly, with the cost increases, with the ballooning of the cost over the years, especially in the recent years.” 

The decision to raise rates was previously tabled during the board’s July 15 meeting amid public pressure. Several ratepayers during that meeting demanded more information to justify the rate increase.  

At the Aug. 21 meeting, General Manager Rodney Olson gave a lengthy overview of the project, diving into details of why a new facility is needed and where it will be built. He said plans for the expansion project began in June 2021, after district officials realized in 2020 the system was nearing its limit. 

Two open houses have been hosted by the district, one in the summer of 2024 at the Somers Fire Hall and another in May this year at the Lakeside Quick Response Unit Building, to discuss the wastewater facility plant upgrade.   

Olson said only eight ratepayers showed up to the 2024 open house and five ratepayers showed up to the open house in May.  

“I say that to say, you know, there's talk that we're trying to hide things,” Olson said. “Our meetings are open. We've tried to get people to show up.” 

Watchdog group Citizens for a Better Flathead filed litigation against the district in April, alleging the board failed to follow proper public participation procedures before approving construction.  

Earlier this month, the group held a community meeting, co-hosted by fellow watchdog groups Upper West Shore Alliance and North Shore Water Alliance, to discuss the sewer rate increase and the filed litigation. District board members were invited to present at the community, but declined to show up.  

Reporter Hannah Shields can be reached at 758-4439 or [email protected].

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