DeLand commissioners back phased-in stormwater rate increases to rebuild reserves

City of DeLand commissioners on Wednesday signaled support for a phased-in increase to the city’s stormwater utility rates, directing staff and consultants to proceed with a multi-year approach intended to restore reserves, pay for vehicle replacements and fund priority capital projects.

The decision came after a presentation by Tara Hollis, a consultant with Willdan Financial Services, who outlined two rate scenarios: a “just-in-time” approach with larger, irregular increases when needed, and a phased-in plan that spreads increases over several years. Hollis said the city should target a minimum unrestricted reserve of $1,000,000 and that the city’s beginning reserve for Oct. 1 was estimated at about $722,000.

Hollis said the city’s five-year capital improvement plan (priority 1 and 2 projects) totals about $3.7 million, with infrastructure projects at roughly $2.6 million and vehicles and equipment slightly over $1 million. “We want to make sure that you’re generating enough revenues to cover all of those operating the day-to-day operating needs…