Roseville PUC recommends city adopt water rate assistance program funded by late fees

The Roseville Public Utilities Commission on Aug. 26 recommended that the City Council approve a Water Rate Assistance Program (WRAP) that would give income-qualified households a discount on the fixed portion of their water bill.

Noelle Matak, Environmental Utilities government relations administrator, told the seven-member commission the program is designed to launch Dec. 1 if the council approves it and would be funded by water utility late fees. "We've structured our WRAP to provide assistance where it can make the greatest impact by applying the discount to the fixed portion of a customer's water bill," Matak said.

The program would automatically enroll customers already verified through Roseville's electric rate assistance program (ERAP). Matak said staff expects 994 households to be initially eligible through ERAP; about 90 of those households currently do not receive electric service and will be reached through targeted outreach. Matak told commissioners that, depending on funding and take-up, the program could provide about $84,000 in benefits in year one and roughly $106,000 in fiscal year 2029–30. Roseville currently receives about $150,000 annually in water late fees, which staff said would cover the projected program cost.

Matak said the program will cap the discount at "up to 20% off of their fixed charge on the water bill" for enrolled households. Eligibility will mirror ERAP requirements, which use a 200% of federal poverty level threshold; Matak confirmed participants will be required to recertify every three years.

Commissioners pressed staff on verification and operational details. Commissioner DeMarche asked if automatically enrolled customers would be re-verified if household circumstances change; Matak said enrollment leverages the ERAP verification and follow-up recertification timeline so participants will recertify on the same three‑year schedule. Staff clarified that qualification is determined at the household level and that household members 18 and older must provide income documentation where needed.

Commissioners also asked how the program interacts with state proposals. Matak told the commission the state has developed affordability standards and has proposed bills in recent years (transcript references included SB 222, AB 1255 and SB 350) but that statewide funding for a universal program has been delayed; WRAP is intended to be a locally funded, legally compliant approach—using non-rate revenue (late fees)—to offer assistance within the constraints of Proposition 218 and related constitutional limits on the use of rate revenue.

The commission voted to recommend council approval. Commissioner De Lacy moved the recommendation and Commissioner Maesch seconded. The roll-call vote was recorded as: Commissioner De Lacy — aye; Commissioner DeMarche — aye; Commissioner Mahesh — aye; Commissioner Petreboard — aye; Chair Bilski — aye. The motion passed unanimously.

The commission and staff said the WRAP ordinance would be taken to City Council on Oct. 1 for a first hearing and would need a second hearing before taking effect; staff said the target implementation date is Dec. 1, pending council adoption.

Commissioners and staff said they plan outreach to affected customers, including ERAP enrollees and community organizations (Sun City and others) before the council hearing. Staff also indicated the program was designed to be administratively efficient by leveraging existing enrollment systems.

No formal changes to rates were approved at the PUC; the action was a recommendation to City Council. The council will make the final determination on adoption and effective date.