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San Fernando staff recommend 5% water, 3% sewer rate increases; council directs notice, hearing and outreach
Summary
City staff recommended 5% annual water rate increases and 3% annual sewer increases to shore up reserves and fund aging water and sewer infrastructure, and the council directed staff to begin the Proposition 218 notice and hearing process.
San Fernando public works staff on June 16 presented an initial financial plan and rate study recommending annual increases for the city's utilities: 5% per year for the water utility and 3% per year for the sewer utility. Staff said the increases are intended to restore and maintain recommended reserve levels, cover inflation and create a predictable funding stream for capital repairs and system replacement.
Public Works Director Wendell Johnson and consultant representatives outlined drivers of the plan: rising operating costs, a 2020–21 pension obligation bond, and a backlog of capital needs for aging pipelines and treatment infrastructure.…
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