Staff outlines 9% baseline utility-rate option for 2026; advisory committee to review

City staff presented an internal rate study recommending a 9% baseline increase in both water and sewer rates for 2026, saying the boost is intended to rebuild reserves to a 30% target and to cover known capital needs if projected growth remains low.

The study, which staff described as an internal document rather than a commissioned outside rate consultant, models multiple scenarios. The staff presentation said a 9% increase in 2026, if repeated in subsequent years at similar levels, would keep the utility on a trajectory to avoid a projected multi‑year deficit the group estimated could appear in roughly five years under current assumptions.

The recommendation matters because the utility is balancing catch‑up capital work — including force…