Ellendale voters approved a measure on Saturday that would shift its water supply from private wells to a public system.
The referendum was approved by a vote of 81 to 21.
WBOC reports that many residents have complained of brown and orange residue in their water.
In some private wells there have been positive tests for bacteria.
The television station reports that the Ellendale Community and Civic Improvement Association estimated that if the measure was approved it would cost a user around $400 more a year for a new system.
There will be formal resolution from the Sussex County Council to approve the new water district.
A similar referendum failed last year by just 13 votes.