Orting — The City Council on Wednesday directed staff to maintain the 2025 council‑adopted utility rates through the 2026 budget year and to implement any changes recommended by a new utility rate and general facility charge (GFC) study in January 2027, aligning adjustments with the regular budget cycle.

Public works staff presented two options: freeze current rates through 2026 and adopt changes in the 2027 budget process, or adopt mid‑year 2026 changes immediately after the study finishes, which would require a mid‑year budget amendment and could produce two consecutive increases within a short period. The public works committee recommended option 1, and the full council concurred.

Council members said the city’s utility funds appear healthy for now — staff reported year‑to‑date increases in water, wastewater and stormwater revenues compared with 2024 — and that holding rates steady through 2026 would provide stability to ratepayers and align any increases with regular budget discussion. “If we don’t raise the rate, do we anticipate that we’re going to be in the red to operate our systems? The response was no,” one council member summarized.

The city issued a request for proposals for a comprehensive utility rate and GFC study covering water, wastewater and stormwater; staff recommended awarding the contract to the top‑scoring proposer and scheduled the study to conclude by June 2026. The study will recalculate GFCs, assess capital needs reflected in recently updated master plans and recommend long‑term rate schedules. Under the approach the council favored, staff would present study recommendations as part of the 2027 budget process for council consideration and adoption effective Jan. 1, 2027.

Why it matters: Utility rates fund operations, maintenance and capital improvements for the city’s water, wastewater and stormwater systems. A rate study can produce multi‑year raising schedules to match capital needs, but councilors weighed immediate revenue needs against ratepayer stability.

Next step: Staff will proceed with the rate study procurement and will present the study’s recommendations in time for inclusion in the 2027 budget process. Until then the city will maintain current adopted rates for the remainder of 2026.