Sanitation District warns some zone funds are fragile; treasurer reports strong investment returns and e‑billing plans

Sanitation District Manager Brad Torres and CDA Director Tricia Tillotson told the Board the district is maintaining infrastructure work but some zone fund balances are fragile and fee updates will be necessary.

Torres said the district completed lining and manhole repairs in Lake Of The Pines and Lake Wildwood and added redundancy on critical systems, but declining impact‑fee collections (less development) have reduced the district’s capacity to self‑fund expansions. He warned that several zones—Cascade Shores, Eden Ranch, North San Juan and Mountain Lake Estates—will likely require rate and fee adjustments. The county’s State Revolving Fund loans that helped finance Lake Wildwood and Lake Of The Pines projects are set to come off the books around 2029; staff said larger capital needs will require evaluating loans, rates and potential connections.

Separately, Treasurer‑Tax Collector Michelle Bodley reported that the county investment pool returned about 3.13% in 2025, generating roughly $10.5 million in interest for pool participants and helping departments and schools without raising taxes. Bodley said the office expects to beat that number in the current fiscal year and plans software upgrades for investment management and a launch of electronic billing for property taxes in FY26–27, with a goal of increasing electronic payments from roughly 32% toward 35%.

Board members asked about SRF availability, the district’s capacity to repay loans and whether grants or a bond might be needed for major catch‑up work; staff said they will present a rate analysis and consider all options, including targeted loans or regional consolidation options where feasible.