CEDAR LAKE | Some customers of Utilities Inc., the private water utility in the process of being acquired by the town, say they don't want to pay for something that eventually will benefit all residents.

The Town Council agreed Tuesday in a 4-2 vote to bond anticipation note financing not to exceed $4 million for the acquisition of Utilities Inc., a 50-year-old family-owned water provider with Police Chief Roger Patz as its CEO.

Stacy Brooks and Bill Burns -- both residents of the Havenwood subdivision, which is served by Utilities, Inc. -- were not pleased.

"You're asking 800 people to pay from what 4,500 people will benefit," Burns said.

Town Attorney David Austgen said the bond anticipation note is a revenue bond that will be paid through revenues generated by the acquisition.

After asking a number of questions, some of which were not answered by Austgen, Brooks said, "It seems no one wants to give a straight answer."

Following Tuesday's meeting, Town Administrator Ian Nicolini and Councilman John Foreman, D-2nd, assured Brooks and Burns the ordinance is to put financing in place, but there is no certainty that current negotiations will result in the town taking over the utility.

Earlier, however, the council approved the acquisition through eminent domain, a process that does not require an agreed-upon purchase price or, even, the willingness of Utilities Inc.

Brooks questioned the $4 million maximum price tag for the revenue bonds. She said she knows appraisals have been done, but Austgen dodged the question when she asked what appraised prices resulted.

Councilmen Robert Carnahan, R-1st, and Greg Parker, R-7th, opposed the revenue bond ordinance.

Many Utilities Inc. customers are unaware of the current negotiations.

In the Utopia subdivision, an informal survey found residents knew little of the issue.

"We've heard nothing. ... I expect our bills may go up," Margo McCoy said. Both she and her husband, Clarence, said the water delivered to them is good quality.