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Finance committee backs staff recommendation for 16% wastewater collection rate increase to rebuild treatment plant
Summary
City staff proposed a 16% FY2027 wastewater collection rate increase (about $10.70 per typical residential customer) to fund treatment-plant upgrades, replenish a depleted CIP reserve and restart sewer replacement projects; the Finance Committee voted to forward the staff recommendation to council.
The Palo Alto Finance Committee voted March 17, 2026, to forward staff’s recommendation that the City Council adopt the FY2027 wastewater collection financial forecast and amend the wastewater rate schedule, a plan that includes a 16% rate adjustment for the collection utility.
Eric Wong, resource planner for the Utilities Department, told the committee the proposed 16% increase would translate to “approximately $10.70 for the typical residential customer” and is primarily driven by Palo Alto’s share of rebuilding an aging treatment plant to meet increasingly stringent wastewater discharge…
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