The Lake Michigan Water project is without question the largest and most expensive project in the Village’s long history. In total, this important endeavor will cost just under $48 million, which includes the cost of internal water system improvements, construction of the external water system to deliver water to Wauconda, and connection fees to join the CLCJAWA water system.
Of the approximately $48 million in total costs, roughly $26 million of the project is being financed through property taxes. This financing structure was authorized by taxpayers by a 2 to 1 margin as part of the 2012 voter referendum, which authorized the Village to issue up to $41 million in General Obligation Bonds to pay for the project. The remaining $22 million in costs is being paid for by revenues generated from the water utility system, which are driven by water rates.
In July 2018, the Village Board approved a new 5-year Water & Sewer Rate Schedule that adjusts rates to begin paying for Lake Michigan water project costs.