La Verne council authorizes Prop 218 notices after ad hoc committee backs steep water and sewer increases

La Verne’s City Council on Aug. 4 authorized city staff to mail Proposition 218 notices proposing multi‑year water and sewer rate adjustments, setting a public hearing for Nov. 3, 2025, after a presentation by Public Works staff and consultant R.E. F. Kellis.

The council’s action follows a yearlong cost‑of‑service study and work by a citizen ad hoc water and sewer committee. The committee recommended, on a 3–2 vote, a “scenario five” package for water rates that would set maximum revenue adjustments at 50%, 25%, 15%, 10% and 10% over a five‑year period starting Jan. 1, 2026; it recommended a uniform five‑year sewer revenue plan of 15% annual increases. The recommendation and staff’s analysis were presented by Public Works Director Danny Woo and project manager Jeremy Tamargo.

City staff and the consultant said the water and sewer enterprise funds have been running deficits and have not had a comprehensive rate update since 2018. The study cited rising costs for purchased treated water, chemicals, labor and deferred capital work; consultants said reserves could be depleted within a few years without rate adjustments. Staff advised that the mailed notice establishes a legal ceiling under Prop 218 but that the council could adopt lower amounts at the Nov. 3 hearing.

The presentation included two principal water scenarios the committee vetted. Scenario two (earlier, more gradual increases) relied on a $4 million interfund loan from the sewer fund and would have ceilings of 35%, 30%, 20%, 15% and 10% over five years. The committee majority favored scenario five as the faster route to rebuilding reserves; the minority favored scenario two citing bill impacts.

Public comment at the meeting was extensive. Several residents and ad hoc members pressed for more protections for seniors and people on fixed incomes, asked whether grant funding and conservation programs had been fully explored, and requested clearer bill examples and monthly bill calculators. Committee dissenters and some residents urged a lower initial increase and insisted that past financial management and use of capital funds be explained. One public speaker asked for an audit of enterprise‑fund spending; another warned about potential impacts on HOAs and mobile‑home parks that master‑bill utility costs to residents.

Council discussion emphasized the legal and technical constraints of Prop 218 (revenues must be proportional to cost of service and notices set ceilings), the need to rebuild reserves to avoid emergency repairs, and the obligation to hold open community meetings (staff plans three virtual and one in‑person open house). The council voted 4–1 to authorize the notices and the Nov. 3 hearing; Council Member Crosby voted no.

Next steps: staff will mail notices no later than Sept. 11, 2025, publish the full rate study report on the city website, hold public open‑houses in September and October, and tabulate written protests at the Nov. 3 hearing as required by law. The rates as noticed would take effect Jan. 1, 2026 if adopted. The city manager and staff said they will provide bill‑calculator tools and additional outreach focused on seniors and low‑income residents.

Votes at a glance: council vote to initiate Prop 218 noticing and set Nov. 3 hearing — approved 4–1 (Crosby dissenting).