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Placentia council adopts six‑year sewer rate schedule to close $19 million shortfall
Summary
After a public hearing and four written protests, the Placentia City Council adopted a six‑year sewer‑utility rate schedule to address an estimated $19 million capital shortfall; single‑family bills are expected to rise about $6 per month initially. Adoption passed 5–0.
The Placentia City Council on Oct. 7 adopted a six‑year sewer‑utility rate schedule after staff outlined a funding gap for upcoming capital projects.
Public Works Deputy Director Gabe Guerrero told the council the existing sewer rate, set in 2021, is insufficient to cover both ongoing maintenance and a $19,000,000 projected capital improvement budget deficit. Guerrero said staff worked with the finance team to draft a six‑year proposal and mailed Proposition 218 notices to affected property owners, receiving four written protests.
Under the adopted schedule staff described, the residential CIP fee for single‑family users is $10 in year one, rising by $2 after the first fiscal year and again in the final year; the multifamily fee is $10 per unit with similar step increases; and the nonresidential fee is $30. Guerrero estimated the change would increase an average single‑family monthly bill by about $6, multifamily by about $10 per unit, and nonresidential bills by about $30, with actual amounts varying by consumption.
Finance Director Jerry Griggs assisted in preparing the analysis and was credited by staff for his role in the review. Guerrero said staff presented the fee analysis to the Sewer/Refuse ad hoc committee and mayoral study sessions before returning to council with the ordinance and resolution to formalize the rates.
No members of the public spoke in opposition during the hearing, and with no majority protest the council moved to adopt the necessary ordinance and resolution. Mayor Kerwin called for the motion; the ordinance passed on a 5–0 vote.
The ordinance directs the rates to be placed into the Sewer Enterprise Fund, a dedicated fund that staff said cannot legally be used for non‑sewer purposes. Council members emphasized the restricted use of the funds during the discussion.
