Beauliton City Council reviews proposed water and wastewater rate increases

Buellton residents are facing a significant increase in their combined water and wastewater bills, as the City Council discussed proposed rate adjustments during the meeting on July 10, 2025. The current monthly bill of $101 is set to rise to approximately $139, marking a change of about $38. This adjustment is aimed at addressing long-standing deficits in the sewer and water funds, which have not seen a rate increase in over seven years.

The proposed rate structure will impact customers differently based on their usage. Lower-use customers will see a smaller increase, with bills rising by $34 for the lowest users, while higher-use customers will face larger hikes due to their increased consumption. Over the next five years, the average single-family customer’s bill is projected to gradually increase, with the most substantial hikes occurring in the first two years as the city works to recover from financial shortfalls.

City officials presented a comparison of Buellton's rates with neighboring cities, indicating that even with the proposed increases, Buellton's rates will remain competitive. The average projected bill by the end of the five-year period is expected to be around $218, which aligns closely with the average rates of surrounding municipalities.

The council also reviewed alternative scenarios for rate adjustments, including delaying increases or implementing smaller increases over a longer period. However, these alternatives could lead to severe cash flow issues, with projections indicating that the water utility could run out of cash by 2030 if no action is taken.

The council is currently in the process of gathering public feedback on the proposed rate changes. Residents have the opportunity to submit written protests until the conclusion of the public comment period. If a majority protest is received, the council will be unable to proceed with the proposed increases.

As the city navigates these financial challenges, the council emphasized the importance of balancing the need for adequate funding with the goal of minimizing the impact on residents. The next steps will involve further discussions and potential adjustments based on community feedback before finalizing the rate changes.