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Council asks staff for cap and tier analyses as stormwater utility review continues

5793433 · September 10, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

After a long discussion about fairness, outliers and level-of-service targets, council asked staff to model tiered fee alternatives, residential caps, and impacts of extending the capital program timeline for the new stormwater utility.

City staff and consultant WSP walked the Laramie City Council through the background and cost ranges of the city's surface‑water utility Sept. 9, and council directed staff to return with additional fee‑structure analyses and parcel‑level data on the highest bills.

Director of Public Works/Utilities Brooks Webb reviewed the program history: the city created a surface water utility and ordinance in December 2024 to fund long‑deferred drainage maintenance and capital work after years of studies and about $2 million in preparatory investment. Webb said the utility was designed as an enterprise fund with fees based on impervious surface area, and that public concern about fee fairness prompted a council resolution (Resolution 2025‑65) temporarily pausing the program for a 120‑day review. "Following years of studies, plans, and over $2,000,000 in investment, the city established a surface water management utility in 2024 to sustainably manage stormwater through an enterprise fund model aligned with national best practices," Webb said.

Aaron Murray from engineering consultant WSP summarized level‑of‑service options and the associated cost ranges: a basic program with modest capital (about $2M/year) and limited new staff; a medium option with an approximate $5M/year capital program and expanded inspection and engineering capacity; and a high option with roughly $11M/year of capital work that would address the highest‑priority backlog in about five years. WSP modeled costs and staffing associated with each level of service and compared them to the FY22 stormwater costs staff extracted from the general fund.

Council concerns focused on rate fairness and the so‑called outliers. City Manager Janine Jordan noted that of about 10,002 billed parcels roughly 165 parcels would pay more than $170 under the current rate design. Councilors asked whether capping outliers or using a tiered structure would preserve needed revenue while reducing extreme bills for some nonresidential parcels, and whether a residential cap (councilors suggested $30–$50 monthly ranges) would be feasible. Councilor O'Doherty requested a parcel‑level revenue breakdown by category so he could evaluate the revenue impact of proposed caps.

Regulatory context: staff warned that failing to reduce sediment and improve stormwater management could invite requirements from the Wyoming Department of Environmental Quality, including possible MS4 (Municipal Separate Storm Sewer System) permit obligations or more prescriptive requirements tied to the Laramie River impairment listing. Consultant Murray explained monitoring, reporting and permitting obligations that attach to MS4 status.

Next steps and council directions: the mayor asked staff to return with modeled alternatives (tiered rate scenarios and the revenue effect of residential caps at $30, $40 and $50 and nonresidential caps at $170 and other levels), an analysis showing the revenue and service impacts of extending the capital program from the initially modeled 10‑year ramp to 15 years, and a parcel‑level list of the highest bills and the revenue those parcels represent. The council also asked staff to examine a tiered structure already in the packet and to estimate long‑term scenarios (15–30 years) including inflation.

No ordinance change or formal vote took place Sept. 9; council gave staff direction to develop and return with options and data for additional public meetings and future council deliberations.