Water rates in the Town of Shelburne will be the main agenda item during a regulatory hearing set to begin Wednesday. The Nova Scotia Utility and Review Board will host a hearing to discuss proposed new rates for residents hooked into the town's water system. The town has applied for an increase because their utility is facing a $200,000 shortfall. If approved, water bills in the average household could jump by as much as 70 percent. That could mean an extra $500 on annual bills. The town's utility is in the red due to declining consumption and cost overruns related to a major line extension project. The hearing will begin at 11 o'clock the Community Centre in Shelburne.