Water and sewer bills in Fort Dodge may be going up in January as a result of a rate increase process launched Monday by the City Council.

Water bills for average families would go up by $2.12 per month while sanitary sewer bills for those families would go up by $1.33 per month.

Former Councilman Terry Moehnke told the council that he does not think the increases, especially the sanitary sewer rate hike, are necessary at this time.

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

City Manager David Fierke said the rate increases for both water and sanitary sewer service are necessary to help “operational revenue keep up with operational expenses.”

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

Fierke said the council could decide against the proposed increase and draw down the fund balance in both accounts to pay operational expenses. But he said that would result in a significant rate increase of as much as 25 percent later on.

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

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

The proposed rate hike is a two-part increase.

The first part would be effective Jan. 1. At that time, the water bill for the average family would go up $2.12 per month. The sanitary sewer bill would go up $1.33 per month for those families.

A second set of increases, of roughly the same amounts, will go into effect Jan. 1, 2026.

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

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