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El Centro authorizes Prop 218 notices for proposed water and sewer rate increases
Summary
Council voted to start Proposition 218 proceedings to notify customers about proposed water and wastewater rate adjustments that would raise water revenues about 42% over five years and wastewater roughly 38% (proposed plan includes debt financing). The public hearing is set for June 2.
The El Centro City Council on March 16 authorized staff to begin Proposition 218 proceedings to notify property owners and customers about proposed increases to water and wastewater rates.
Public works director Abraham Compos told the council that while the city’s water and sewer enterprise funds have accumulated cash for capital projects, revenue and cost trajectories are not sustainable long-term without rate adjustments. Compos said the proposals follow the master plan and a rate consultant study and are intended to maintain and repair critical infrastructure and meet bond covenants.
Consultant John Wright (Re(t)pelis/Raftelis; transcript identification) presented the technical work behind the recommendation. For water, staff and consultants recommended an illustrative financial plan that completes about 80% of projected CIP over the five-year planning horizon while using about $2 million of debt financing; the plan requires an aggregate increase in rate revenue of about 42% from FY2027 through FY2031.
For wastewater, the study proposes a heavier debt issuance (roughly $14 million) to fund a substantial wastewater CIP program; the recommended revenue increases aggregate to about 38% over the five-year window. Wright described a cost‑of‑service allocation and a proposed consolidation of wastewater customer classes (grouping nonresidential customers by strength/load) to improve transparency and billing efficiency.
Compos summarized the public-notice and outreach plan: staff will prepare and mail Prop 218 public hearing notices (including a QR code to a city rate page and bilingual materials), employ direct public education on bill impacts, designate a staff contact for inquiries, and bring the matter to a public hearing on June 2 for protest counting. If a majority protest does not prevail at the hearing, council may adopt rates that would become effective July 1, 2026.
Public commenters largely backed the need for reliable funding while pressing for staffing improvements and faster customer service. Builder Armando Munos described a six‑month delay obtaining a new service meter at a construction site and urged hiring more field crews; staff said the master plan and proposed rates account for needed staffing growth.
The council approved initiating the Prop 218 process and setting the public hearing date; the motion was seconded and recorded as passing.
What residents should know: notices will be mailed to property owners and customers of record; a valid written protest will be counted per parcel; if more than 50% of affected parcels file written protests, the proposed rate increases cannot be adopted at the hearing.
Next steps: staff will mail notices in the coming weeks, host public education materials and FAQs online (in English and Spanish), and return to council at the June 2 public hearing to tally protests and consider adoption.
