Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Utilities And Rates topic
No spam. Unsubscribe anytime.
Port Orchard staff propose consumption-based sewer rates; high-use accounts would pay more
Summary
City staff presented a move from a flat bimonthly sewer charge toward a consumption-based rate tied to winter water usage and equivalent residential units (ERUs); the proposal would lower many residential bills in the near term but increase costs for high-use commercial accounts and the county jail.
City public works and finance staff presented an update on a proposed overhaul of Port Orchard’s sewer-rate structure, recommending a shift from a largely flat, bimonthly charge toward a consumption-based model aligned to winter water use and equivalent residential units (ERUs).
Dennis Ryan, Public Works Director, said the city’s consultant (FCS Group) analyzed proportional cost of service and found residential customers have been shouldering a larger share of costs than the methodology indicates is equitable. Ryan said the proposed design would use wintertime water consumption to estimate sewer effluent for customers and allocate charges accordingly.
Noah Crocker, Finance Director, explained technical aspects: nonresidential customers were modeled at an average of about 180 gallons per day per ERU; the average residential ERU used a lower volume in the model (Crocker referenced approximately 117 gallons per day). Under the new methodology, some high-flow commercial accounts — fast-food outlets and other large generators of fats, oils and grease — would see substantially higher bills, while many residential accounts would see a reduction in their bimonthly charges initially.
Ryan and Crocker highlighted one large cost-shift issue: the county jail, which is the city’s single-largest sewer customer, has been substantially subsidized by Port Orchard ratepayers under the existing structure. Ryan said Port Orchard ratepayers have been shouldering roughly $150,000 per year toward the jail’s sewer costs; under the proposed change, jail-related costs would be split more proportionately among regional users and the county would be billed based on bed days and its proportional share.
The staff proposal also includes operational and capital needs identified in the city’s general sewer plan. Committee members were told the plan contemplates two additional full-time staff positions (one in 2026 and another in 2027) and that a 4.5% overall rate increase is proposed in order to fund operations, capital needs and the city’s share of treatment costs to the South Kitsap Regional Wastewater Facility.
Council member Heidi Fenton asked about the 5% range referenced in cost-of-service alignment; staff explained the goal is to move rate classes to within roughly 5% of proportional cost-of-service. Council members asked for clearer sample bills and the most recent proposed rate sheets; staff said those items will be finalized and are on the full City Council agenda for action the following Tuesday.
Crocker and Ryan said the city has not raised sewer rates since 2020. Staff described the transition steps and urged community outreach because some commercial accounts will see significant increases while many residents could see decreases for the first several years as the rate design is phased in.
Ending
The committee received the briefing and asked staff to circulate updated sample bills and rate tables. The item will return to the full City Council for action; staff stressed targeted outreach to affected commercial customers and continued coordination with the regional wastewater facility.
