City Council proposes 18.5% sewer rate increase to fund new treatment plant

During the Atascadero City Council meeting on April 22, 2025, significant discussions centered around the urgent need for rate increases to fund wastewater treatment improvements. City officials emphasized the necessity of an 18.5% rate hike, which is crucial for maintaining operations and preparing for the construction of a new treatment plant. This increase, while challenging for residents and businesses, is seen as a proactive measure to avoid more severe consequences, such as federal intervention or substantial environmental fines.

The council highlighted that the proposed rate adjustment would not address the existing collection system issues but is essential for securing the financial capacity to borrow funds for the new plant. The discussion underscored the importance of engaging with stakeholders, including apartment and business owners, to collaboratively explore options and alternatives to mitigate the financial burden on the community.

City officials expressed a commitment to transparency and public engagement, proposing the formation of a working group to facilitate discussions with community members about the rate increases and potential solutions. They acknowledged the need for a fair distribution of costs among different types of users, indicating that the current method of calculating Equivalent Dwelling Units (EDUs) may not be equitable.

In addition to local efforts, the council plans to seek state and federal funding to support the necessary upgrades, particularly as California mandates more advanced wastewater treatment processes. The city aims to leverage available state resources, including climate bond funds, to alleviate some of the financial pressures associated with these improvements.

Overall, the meeting highlighted the city's proactive approach to addressing wastewater treatment challenges while emphasizing the importance of community involvement and collaboration in finding sustainable solutions. The council's next steps will involve initiating discussions with stakeholders and exploring funding opportunities to support the necessary infrastructure developments.