Interesting, I'm in STL city and never heard about that. Granted, I rent and usually trash fees are paid by my landlord.
A similar thing happened to my parents, living in a Milwaukee suburb. They have a well drilled and use well water.
The city decided that this is a health hazard and is forcing everyone to be on well water. Not only do they tear up your yard to drop the pipes, you also have to pay a contractor to hook up the water main to your house. Non-compliance results in a fine. A FINE?! For using your own well water...