HAMMOND | Hammond and Chicago Heights filed to dismiss a federal lawsuit Thursday reagarding the rate the Illinois community will pay for water for the next 20 years.
The two communities have been locked in a federal court battle since October, when Chicago Heights sued Hammond over a proposed rate increase.
Chicago Heights will now pay the increased rate of $2.20 per 1,000 gallons for water, the original rate increase Hammond had sought from the community before the lawsuit was filed.
The contract also allows for a rate adjustment every two years, Chicago Heights Corporation Counsel T.J. Somer has told The Times.
Chicago Heights had argued the rate increase was unreasonable, but Hammond Mayor Thomas McDermott Jr. maintained the rate was less than what the Illinois community charges its residents.
Chicago Heights also had filed a case against Hammond with the Indiana Utility Regulatory Commission over the rate increase.
The judge had not yet ruled on the dismissal Thursday evening.