The City of Houghton is forgiving nearly $88,000 dollars in sewer charges that were run up by Portage Township this spring.
Water from heavy spring rains and runoff worked its way into the sanitary sewer system in Portage Township, spiking the April bill to four times what it usually is, and also driving up May’s billing.
The sewage agreement signed in the 1980s includes some severe financial penalties – as high as four times the usual cost – when the Township discharges more than a specified amount into the Houghton system. The penalty was apparently included in the agreement because Houghton had limited treatment capacity at the time.
Now, both systems are part of the Portage Lake Water and Sewer Authority, which does not charge the city of Houghton a penalty for excess amounts that come in from Portage Township through Houghton’s system. At last night’s meeting, council members unanimously agreed to roll back the penalties for April and May. Several indicated that they might be open to revising the agreement to reduce or eliminate the penalties.