GRAND JUNCTION, Colo. The Ute Water Conservancy District's Board of Directors unanimously decided to increase water rates by $2 on January 1, 2014.
This is not the first time rates have gone up as there was another $2 increase in the beginning of 2013.
The money collected this year went into a reserve fund and $15.5 million was spent on 12-thousand acre-foot of water from the Ruedi Reservoir.
Joseph Burtard with Ute Water said now they have to replace that fund, which is why customers will be facing another increase.
The reserve fund is strictly spent on capital projects, reservoir projects and water purchases.
A 2011 studied showed that by 2045, Ute Water will be providing services for 197,000 residents, which is much higher than the 80,000 served today. Officials say they needed to meet the demand, which is why they are expanding their water space.