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Manville council rejects second reading of proposed water/sewer rate increase
Summary
Council voted 4–3 against the second and final reading of an ordinance that would have raised water and sewer base rates by 6.3% (volumetric 13.5%); staff said the package would not fully cover a $269,000 annual bond shortfall and warned a 19% rate would be needed to close the gap.
Council considered a second and final reading of ordinance 2024‑O‑42, based on a rate-study recommendation to raise the residential base water rate about 6.3% and increase volumetric charges by about 13.5%.
Finance staff explained the rate study’s rationale: the city’s utility fund had not previously kept pace with costs, and a stepped plan sought to reduce annual transfers from the general fund. Rosie (finance) told council the proposed increases would make the utility fund self-sufficient for operations but would leave an estimated $269,000 annual shortfall on debt service for the water reclamation facility; to cover that gap strictly from rates would require an approximate 19% increase (about $20/month on a typical bill).
Council debated alternatives including drawing more from impact fees, accelerating an impact-fee update, or adopting a larger rate now. Some councilmembers argued for more granular, updated operational cost data before finalizing a change. When the council called the question, the motion to adopt the ordinance failed on a 3–4 vote; council members opposed said the incremental 6.3% did not address the bond gap and requested further analysis before proceeding.
