SIOUX CITY, Iowa (KCAU) — Neighboring communities that rely on Sioux City for water may soon see their rates drop.

“We have the inventory, we have the water supply, and they’re paying their fair share for it, and so it makes the region stronger, Siouxland area stronger, when we can work together with the adjacent cities,” said Mayor Pro Tem Dan Moore

The City of Sergeant Bluff pays about $3 per 1,000 gallons, but its rate is not changing.

City Council members are giving a thumbs up to the first reading of a new waterworks ordinance. It defines the rates for South Sioux City and Dakota Dunes.

Currently, South Sioux City pays $1.43 per 1,000 gallons, and for 2022, South Sioux would pay about $1.35 per 1,000 gallons. Dakota Dunes would pay $1.98 instead of $2.15.