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Menlo Park council authorizes notice for proposed water-rate increases; staff outlines solid-waste fee recommendations
Summary
The council voted to begin the notification process required under AB 2257 for proposed maximum water-rate increases covering fiscal years 2027–2029 and set a public hearing for May 12; staff also presented recommended solid-waste fee adjustments and a five‑year schedule for future consideration.
Menlo Park — On March 10 the Menlo Park City Council authorized staff to begin the public-notification process under state law for proposed increases to maximum water rates and heard staff recommendations on solid-waste fees.
Councilmember Combs moved and Councilmember Schmidt seconded a motion directing staff to issue notices and set a public hearing on May 12 consistent with AB 2257 procedures; the motion passed with four yes votes (Combs, Schmidt, Taylor and Mayor Nash) and Vice Mayor Jennifer Wise absent.
City staff framed the water-rate proposal around capital projects and two financing scenarios. Staff described a conservative financing approach and a more aggressive option; staff recommended Option 1 — a shorter, three‑year schedule — as the preferred path to fund a multi-year capital improvement program and to limit short‑term impacts on ratepayers. Staff cited example bill impacts, saying a household using 10 CCF of water could see about a 15% increase in the first year under the recommended option.
On solid-waste rates, staff presented a proposed five-year approach with modest annual increases tied to contract CPI adjustments and contractor limits. Staff noted that the franchise agreement with the hauler caps annual increases and that some commercial and multifamily categories would see smaller changes; staff recommended a notice period and public hearing in May before any adoption.
Councilmembers asked for additional detail on the city’s total water‑service debt and long-term obligations; staff said the city has not yet incurred long-term debt for certain water capital projects and offered to provide a dollar figure in a follow-up report. The council directed staff to proceed with the AB 2257 notification process, publish required notices to property owners and renters, and return at the May 12 public hearing with the formal resolution establishing procedures for compliance with the statute.
The motion recorded in the minutes directs staff to prepare and send notices and return to council on May 12; at that hearing the council will consider protests and may adopt or modify the proposed maximum rates. There was no final rate adoption at the March 10 meeting.
