Owosso water crisis demands $207.7M state reinvestment – Residents face 108% rate hike

Rep. BeGole urges lawmakers to secure funding for aging pipes, nitrification towers, and water treatment systems.

Statewide Water Reinvestment Required to Prevent Owosso Crisis

LANSING—On June?25, 2025, State Rep. Brian BeGole told the House Appropriations Subcommittee that Owosso and nearby townships will struggle without $207.7 million in state funding to overhaul their water and sewer systems.

The investment would replace lead service lines, outdated water mains, and septic-processing towers, particularly the $15 million nitrification towers critical for wastewater treatment. Much of the area’s infrastructure dates to the 1930s and has exceeded its service life.

“Maintaining and modernizing is not about pipes and pumps. It’s about public health, environmental stewardship and economic viability,” BeGole testified .

Lifelong Owosso resident and trustee Shelly Ochodnicky described a looming crisis. “We are talking about a 108?percent increase in our water bills over the next five years,” she said. She voiced concern for seniors and families on fixed incomes.

Former council member Tom Cook warned that failure of the nitrification towers could release six million gallons of untreated wastewater daily into the Shiawassee River, threatening health and violating state permits.

Justin Horvath, CEO of the Shiawassee County Economic Development Partnership, said the upgrades are essential to support local employers and attract new industry. Nearly half the workforce commutes into the region for jobs .

BeGole said the funding push reflects collaboration among city, township and county officials. “I’m proud to be part of that, and I will continue fighting for this vital funding,” he said.

Timeline and Consequences Without Funding

Current proposals would gradually implement rate increases—with a 108?percent hike over five years—to fund the $207.7 million investment . That equates to a jump from about $30 to over $54 per month even before water usage is added.

Without state aid, residents would bear the full cost. High rates could push vulnerable households to choose between utilities and essentials like food or medicine .

Public Health Risks and Regulatory Warnings

The nitrification towers are vital for removing ammonia and nitrogen before water discharge. Failure would breach discharge permits and could cause environmental and health harm.

Broader Michigan Context on Water Affordability

Lawmakers recently discussed statewide water affordability programs. The House committee examined proposals to help low-income households cover essential utility costs, noting billions in needed infrastructure upgrades statewide.

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