The Plymouth City Council on Thursday voted to approve its potable water pipeline project and followed it by cancelling a plan to raise city water rates and also set staff to work studying the city’s current developer impact fees. The council directed staff to study the current fees and to bring back the findings with a recommendation on whether or not the fees were adequate. The pipeline was approved to be awarded to Mountain Cascade Inc., and City Manager Dixon Flynn recommended the council cancel a rate increase challenge meeting, and with it cancel plans for a rate increase. Flynn said “one of the items here tonight is to cancel that meeting. We don’t need it. Our current rate structure will pay for the project.” Instead, he urged that the city guarantee its 5 Million Dollar loan for the pipeline project with those developer water impact fees. Flynn urged approval of the pipeline before the vote, saying that the 10.9-Million-Dollar project would cost the city an estimated 3.8 Million Dollars. He said the water rates might be an issue for Plymouth ratepayers until completion of the project, but once it is completed, they can sit with staff and determine rates. Flynn said the rates may not come down but they may be able to delay or stop the future rate hikes in the current rate schedule, including the next hike, a 16 percent increase to take place in June 2009. Jon Colburn was the only “no” vote in the 4-1 passage of the Pipeline Project. Councilman Mike O’Meara said he was pretty happy with the numbers. O’Meara and Councilwomen Patricia Shackleton and Patricia Fordyce said they understood Colburn’s opinion, but did not back it. Shackleton said “We don’t have a choice. We need this project.” Story by Jim Reece