Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Utilities topic
No spam. Unsubscribe anytime.
City launches water and sewer rate study as costs rise and demand shifts
Summary
City staff and consultant Stantec outlined a water and sewer rate study to update the rate model, account for rising construction and chemical costs, PFAS compliance and a roughly 6% decline in water sales; work sessions with council are planned beginning Jan. 14, 2026.
City staff on Nov. 17 introduced a water and sewer rate study intended to update the city's rate model, project revenue needs and propose equitable rate structures.
Water Resources Director Al Pratt said Stantec will develop a 10-year financial plan, conduct a cost-of-service analysis and propose alternative rate structures. Pratt said the city faces rising capital and operating costs — citing industry data showing pipe and construction costs rose sharply after 2020 — even as metered water sales have dropped about 6% in the past decade, driven largely by a 24% decline in industrial use.
"Revenues for these funds are directly from water and sewer user fees and rates," Pratt said, noting the enterprise funds are separate from the general fund. He described the current two-tier residential structure and said Stantec will evaluate options including fixed fees, tiering and irrigation rates. A council work session to kick off the study is tentatively scheduled for Jan. 14, 2026.
What happens next: Stantec will prepare drafts, conduct a cost-of-service analysis and return to council with alternatives and recommended rate structures during early 2026 work sessions; the study will inform future rate adjustments and capital funding plans.
