Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Rates And Fees topic
No spam. Unsubscribe anytime.
Staff proposes delaying $5 drinking‑water debt‑service fee until billing is stable
Summary
City staff proposed delaying implementation of a council‑approved $5 debt‑service fee for the Drinking Water Revolving Fund after vendor inability to update bill templates by Jan. 1; staff said models show the timing shift can be absorbed for months and will return with a final proposal targeting late Q4 2025.
Peter told the Water and Sewer Board that council approved new 2025 rates and fees — including a $5 fee for debt service on the Drinking Water Revolving Fund — but the vendor cannot update the bill template in time for a Jan. 1 implementation. He proposed delaying the fee’s implementation into late 2025 to avoid adding a new charge at the same time the city is still stabilizing customer bills.
"We can delay the implementation of that $5 fee in 2025," Peter said, explaining that financial models indicate the city can temporarily offset the delayed revenue using other cash resources and fund balance without changing the approved fee policy. He framed the proposal as customer relief during a stressful billing transition: "We think it's a way to show empathy and compassion for our customers."
Board members asked whether delaying the fee would require a budget amendment. Peter said the fee would generate about $660,000 annually; staff expects the timing shift can be absorbed in the short term and will return to the board and council if a formal amendment becomes necessary. The board indicated general support and asked staff to return with a specific implementation timetable and financial effects; staff suggested a likely target of late Q4 2025 if adopted.
The board gave consensus support for staff to continue developing a formal recommendation and to present formal action if required.
