Voters Decide – Water Proposal – August 2025

Voters Decide 8/5/2025

Voters will decide August 5, 2025 whether to improve water treatment and distribution while limiting annual water rate increases to 15% and only as needed (typically $4.71/month). The 2025 proposal would increase water rates slower than what was considered by voters in 2024.

100% of utility payments must be used for the operation, maintenance, and capital improvements for that specific utility.

If the Charter Amendment passes in August, the City plan moving forward is to increase water rates 10%, then the next two years will be 15%. Projections are to increase the rates 5% in the 4th year.

The City’s source water has changed since switching from river to well water over ten years ago. The water is more challenging to treat which slows the treatment process. Many City water mains need to be replaced. Improving the distribution system will decrease main breaks and diminish the risk of boil water advisories. The City’s water needs have increased. Upgrading the Cape Rock Water Treatment Plant will allow the City to continue to produce the quantity of water required to meet the City’s needs.

Project Costs

  • City recently funded $9 million of critical repairs.
  • $56 million for immediate needs such as urgent plant improvements and high priority water mains.
  • $64+ million beyond 2033 for additional treatment capacity and further distribution improvements.

Rates Are Too Low for Infrastructure Grant Funding

The acceptable national standard Affordability Index (AI) for water is 1.0 percent. This means the average household using 5,000 gallons of water per month pays 1% of its income to pay the water bill. Various state and federal funding sources look at a city’s AI to determine if its residents are paying their part. The City’s current AI is 0.76, meaning our rates are too low to qualify for state or federal grants to help with our funding needs.

Aug. 5, 2025 Ballot Language

Article VI, Section 6.13 of the Charter of the City of Cape Girardeau generally prohibits the City from increasing water, sewer or solid waste collection fees by more than five (5) percent per fiscal year. Shall this general limitation be amended from five (5) percent to fifteen (15) percent, for the purpose of funding improvements and maintenance needed to deliver these services?

Videos

City officials have been meeting with small groups, advisory boards, and other civic leaders to explore the water situation in Cape Girardeau.

Frequently Asked Questions

The water has been more challenging to treat. There are naturally occurring substances that develop in our source water, which the water treatment plant routinely treats to remove. Environmental changes have slowed down the treatment process, limiting the flow through the plant.

Shortages would be likely, and a quality decline would be possible. If voters decline the improvement plan and rate increase, we will still do emergency repairs. Over time, our system will become increasingly less reliable and we’ll need to consider water conservation and/or privatization. We have to keep good water in our city, which could require selling the water system to a business that can set its own rates to fund the necessary improvements. The City bought the water system in 1992 from United Electric (now Ameren).

Significant improvements are already underway. During the next 7-8 years, the investment in plant and distribution improvements will be $56 million. Improvements expected to occur beyond 2033 exceed $64 million.

The Charter amendment will slowly align rates with costs, without an increase over 15% in any one year (typically $4.71/month). Every year, as part of the budget process, Council votes to establish utility rates for the upcoming fiscal year. Use these charts to assess your potential water bill in upcoming years:

Table showing City of Cape Girardeau average monthly residential water bill projections by customer usage range, with projected rate increases from July 1, 2025 through year 10.

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