Board approves interlocal agreement letting redevelopment commission defer sewer fees up to $1 million

The Board of Sanitary Commissioners approved Resolution 2025‑08 on June 25, establishing an interlocal agreement with the Muncie Redevelopment Commission (MRC) to forego sewer fee collections on new units as an upfront development incentive, with a cap of $1,000,000.

District Administrator Rick Conrad explained the rationale: adding customers is one of the most effective ways for a utility to increase revenues over time. "One of the best ways to add additional revenues to utilities is to add additional customers," Conrad said, and described the agreement as a way to provide upfront assistance — typically about $30 per residential unit — to help projects get over the financing hump. Conrad said the board elected to provide up to a million dollars in foregone payments.

Commissioner Clark confirmed the mechanics: the district provides capital assistance up front and normal sewage billing "will resume as normal" once projects are complete. The item passed on a motion and second; the board approved Resolution 2025‑08 by voice vote.

The board characterized the arrangement as relatively low risk to the district because treatment costs are already accounted for in the system; the measure is intended to support new housing and business growth in Muncie.