HELENA — The Montana Public Service Commission has reached an agreement with a Helena Valley subdivision, intended to resolve years of complaints residents have raised about water service. However, some commissioners and PSC staff say they remain skeptical it will be enough to solve the issues.
Since 2020, residents in the North Star subdivision have brought complaints about inconsistent water supply and use restrictions to the PSC. Earlier this year, the commission ruled North Star Development hadn’t done enough to guarantee adequate water and proposed a fine of $86,700, but they also gave the owners a chance to negotiate a settlement agreement instead.
PSC staff and North Star finalized a settlement last month, and commissioners unanimously approved it on Tuesday. The agreement says the PSC will not enforce the fine as long as North Star continues to comply with six main requirements.
The developer’s first commitment will be to invest in water system improvements, with a comprehensive assessment planned for this spring. North Star will be allowed to recover much of the cost through rates, but the owners will contribute $36,000 directly for the work.
North Star will also be required to step up its monitoring of customer meters and compliance with lawn watering restrictions. The company has long argued that customers exceeding their allotted water use is a major contributing factor to the supply issues.
Several commissioners said Tuesday that they had reservations about the settlement, but that it was the best option – particularly because, if they did fine North Star, the money would go into the state general fund rather than going toward residents.
“I am pleased to see the owner contribute significant finances toward this,” said PSC Vice President Jennifer Fielder. “I think the owner's getting off fairly light: Basically, you're avoiding $50,000 in costs, in exchange for some rigorous requirements. And I, specifically, will be looking for this owner to very diligently take care of this system and get it into a state of providing the proper service to its customers.”
