LOUISVILLE, Ky. (WDRB) -- The Louisville Metropolitan Sewer District (MSD) unanimously approved rate increases Monday for customers in both Jefferson and Oldham counties.

Jefferson County customers will see an increase of 6.9%, the largest amount MSD can raise annually without first receiving approval from Louisville Metro Council. The average bill will increase by $4.85 per month, MSD said in a news release Monday.

"This is a necessary but measured rate increase, and I’m pleased that MSD has been aggressive about pursuing several innovative financing mechanisms, grants and loans to help continue managing and improving the system in a fiscally responsible way," Marita Willis, chair of MSD's board, said in a news release Monday.

Oldham County customers will see an increase of 5%. The average bill will increase by $3.56 per month.

MSD said the new revenue will help it invest more than $255 million in fiscal year 2024 to the Morris Forman Water Quality Treatment Center in west Louisville, which the company said is Kentucky's oldest wastewater treatment facility.

Another project calls for replacing MSD's Paddy's Run Flood Pump Station, which protects properties in west Louisville.

"We are leveraging grants and innovative loans for the critical work of replacing outdated biosolids processing at our Morris Forman Water Quality Treatment Center—built in 1958—and updating and expanding our Paddy’s Run Flood Pumping Station, which was built in 1953," MSD Executive Director Tony Parrott said in a news release Monday. "Additionally, frequent sewer cave-ins and failures are examples of the challenges we face across our service area with outdated infrastructure that is long past its useful life."

MSD said it will also spent $5.1 million in capital improvements in Oldham County.

The new rates take effect Aug. 1. For information on rate assistance plans, click here.

This story will be updated.

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