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Council adopts utilities code change to reference CPI but debates whether rate hikes would be automatic
Summary
Council passed Ordinance No. 024 (2026) amending utility-rate language to reference the Consumer Price Index as a guide and to give administrative flexibility; members debated whether the revised language still required annual adjustments or allowed the city discretion.
The Natchitoches City Council on July 13 adopted Ordinance No. 024 (2026), an amendment to the municipal utilities code that changes how post‑development adjustments to utility rates relate to the Consumer Price Index (CPI).
Council members pressed staff and the city attorney over whether the revised language would force an automatic annual increase. "The way I read it, you shall go up every year. It's just a matter of how much," one councilman said during debate, reflecting concern that the word "shall" could be read as mandatory. City Attorney Alex and other staff clarified the intent: the ordinance uses CPI as a reference point but gives the city flexibility to adjust rates based on demonstrated financial need rather than mandating the maximum CPI increase.
Members discussed whether rate adjustments should come back to the council for a vote or merely for informational notice. Staff explained that the ordinance permits administrative adjustment within the CPI cap and that the council retains legislative authority to change rates by ordinance in the future if it chooses.
The ordinance passed on roll call. Councilmembers and staff said they will provide clear administrative procedures and credible supporting data when any future rate adjustment is proposed, and the city will continue to advertise changes as required.
