Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
MSO outlines technical, multi‑year utility rate process; staff aims to lower near‑term increases
Summary
MSO fiscal staff described the rate‑making model used for water, wastewater, stormwater and solid waste, the multi‑year rate timeline, bond and credit metrics that shape rates and the consultant process; staff said a finalized model is expected soon and they will present rates to the commission ahead of the Sept. 16 budget adoption meeting.
Kathleen Von Atchen, fiscal support manager for the Municipal Services & Operations department, described the city’s technical process for setting utility rates and the timeline for finalizing new rates.
Von Atchen said the city uses an independent consultant to build a financial model that incorporates audited prior‑year actuals, the operating budget, fixed assets, customer and consumption data, and capital improvement program (CIP) cash flows. She said the modeling typically covers a long horizon (staff said it "goes out about 10 years") while the multiyear rate proposals the commission sets are most often three years.
Speaking about policy goals, Von Atchen said rate setting balances capital attraction (to secure favorable bond rates), reasonable pricing and incentives for conservation. She described the role of debt metrics and liquidity targets in rate decisions: staff cited a days‑cash target used for operations…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
