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Last updated on Monday, August 15, 2016
(WASHINGTON) - Daviess County Rural Water has filed a suit against the City of Washington for breach of contract.
The Washington Times Herald report, the suit was filed following city council action last week, which increases the cost of water purchased by the water company by 57 percent.
Under the new ordinance, over 4500 in-city customers will not see a rate increase, but customers who are in the outlying areas number nearly 900but not Rural Water customers, will see a 14.8 percent jump.
According to Mayor Joe Wellman the recent cost of service study done by H.J. Umbaugh and Associates showed recommendations for the new rates.
City council members say they wanted to make sure the city's costs were covered in allowing Rural Water to buy its water.
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