Fort Dodge’s water and sewer bills could go up in January as a result of a rate hike process launched Monday by the City Council.

Water bills for the average family would increase by $2.12 per month, while sewer bills for those families would increase by $1.33 per month.

Former Councilman Terry Moehnke told the council he doesn’t think the increases, particularly the sewer rate increase, are necessary at this time.

He reminded council members that in September they approved the $3.1 million loan from the sanitary sewer fund to Fort Dodge Fiber, the city’s new broadband utility. Now, he said, they are considering raising rates for that sewer fund.

City Manager David Fierke said rate increases for both water and sewer service are needed to help “operating income keeps pace with operating expenses.”

“The proposal is to raise rates enough to keep up with operating expenses,” he said.

Fierke said the board could decide against the proposed increase and draw the fund balance in both accounts to pay for operating expenses. But he said it would later result in a significant rate hike of up to 25 percent.

He said fund balances are used to pay for projects. He said the loan to Fort Dodge Fiber was possible because there are no large pending projects. He said he expects the loan to be repaid with interest in two to three years.

Moehnke was the only person to address the board about the rate increases.

The proposed rate increase is a two-part increase.

The first part would enter into force on January 1. At that point, the water bill for the average family would increase by $21.12 per month. The sewer bill would increase by $1.33 per month for those families.

A second set of increases, of roughly the same amounts, will take effect on January 1, 2026.

The council unanimously approved the first reading of the rate hike measures with two separate unanimous votes without discussion.

The rate increases must be approved two more times to take effect.