S.F. Public Utilities Commission rescinds old rates and adopts amended water and wastewater rate resolutions after public objections

The San Francisco Public Utilities Commission on June 7 rescinded its prior rate schedule and adopted revised water and wastewater rate resolutions after staff removed a proposed highest-tier rate and clarified grandfathering and capacity-charge rules.

Commission President Brooks opened the special meeting and staff summarized substantive revisions that had been circulated shortly before the session. Scott McDonald, a commission staff member, told commissioners that the most significant change is elimination of a previously proposed Tier 3 rate: “tier 3 is eliminated.” He said the revised structure would leave a lower Tier 1 (approximately $2.08) and a Tier 2 (about $2.50) for single-family customers and a proposed multifamily uniform rate of $2.47. McDonald estimated removing Tier 3 would reduce revenue by about $1.6 million in the first fiscal year and about $2.4 million the following fiscal year, roughly $4 million across two years.

The resolution also adds a proposed independent rate advocacy office to review rate fairness and suggests financing and payment schedules for developer capacity charges so builders can pay over time rather than in a single…