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Pasco council adopts lower irrigation connection fee, approves multi-year rate increases after debate

2681033 · March 19, 2025
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Summary

After months of discussion the Pasco City Council voted 6–1 to adopt a lower one-time irrigation connection fee of $1,000 and staged multi-year rate increases to fund upgrades, while directing staff to monitor revenues and revisit the fee if needed.

The Pasco City Council on March 17 adopted a new irrigation utility fee structure aimed at funding existing system upgrades and supporting future growth, choosing the lower up-front connection fee paired with larger short-term rate increases.

Councilmember Sarah Copeland (staff presentation) described two alternatives developed during a cost-of-service analysis. Alternative A would set the connection fee at the modeled maximum (stated in staff materials as $14.68 per dwelling unit in that calculation) and adopt smaller rate increases; Alternative B proposed a $1,000 connection fee with higher initial increases (about 17.75% for the first three years and 3% annually after that). The council voted to adopt Alternative B, 6–1.

Councilmember Harpster said he favored option B because it places a smaller immediate cost on new homebuyers while still raising revenue to address system needs. "Option B at a connection fee of $1,000 per dwelling unit and a total rate increase by 2030 is the best case we've got of the options," Councilmember Harpster said. He also noted the fairness tension between asking existing users to pay for upgrades versus charging incoming development to pay for growth.

Staff and council emphasized the package includes three shared elements regardless of the chosen alternative: multi-year rate adjustments through 2030, a formal code section authorizing connection fees, and expansion of low-income and senior discounts to the irrigation utility. Councilmembers asked staff to revisit the connection fee in one to two years to confirm revenue assumptions and adjust if necessary.

What happens next: staff will publish the ordinance summary, update the utility billing systems and produce annual reports on irrigation fund revenues and expenditures. The ordinance establishes the legal code section and authorizes implementation steps set out by Public Works and Finance staff.

Why it matters: the adopted fee structure will affect both new development (through the per-connection fee) and existing irrigation customers (through the staged rate increases) and is intended to fund maintenance and capacity improvements the irrigation system needs to serve projected growth.