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Residents press Gold Hill council over water rates; council rescinds $2.80 surcharge
Summary
Public commenters criticized recent water rate choices and missing SDC funds; council voted to rescind a previously adopted $2.80 surcharge on EDU water accounts after staff reviewed the Atkins report and the council approved rescission (Resolution 25-R-47).
At the Sept. 25 Gold Hill City Council meeting, residents urged the council to revisit recent water billing choices and investigate missing SDC funds; later the council voted to rescind a $2.80 surcharge that had been tacked onto EDU water accounts.
Resident Daniella Hankley presented a handout and several questions to the council, saying the Atkins 2025 water-rate study "recommends against the tiered rate system" for a town Gold Hill's size and arguing that tiered rates are exacerbating the burden on residents. She asked where SDC (system-development charge) funds went, alleged a gap between water produced and water sold that she estimated at nearly $260,000 in lost revenue, and questioned a $190,075 transfer from the water fund to the general fund.
City staff acknowledged the concerns and told the council the Atkins study recommended eliminating the $2.80 surcharge, but because the surcharge was created by an earlier resolution, staff recommended the council formally rescind it. The manager said funds currently recorded under the revenue-surcharge line would be transferred into the main water-billing revenue line upon adoption.
After discussion, the council adopted Resolution 25-R-47 to rescind the $2.80 surcharge; staff said the change would take effect before the next bill run and would not itself change the broader rate structure. Councilors also directed staff to bring forward proposed code and policy changes (including updates to Title 13) that would provide clearer guidance on adjustments, low-income assistance language in the code, and procedures for handling SDC accounting and reserve funding.
Ray Ogden, a retired resident, had told the council earlier that his household water and sewer bills (about $111.57 and $80.95, respectively) were unaffordable on a fixed income, remarks that underscored the meeting's focus on affordability.
Council members and staff additionally discussed the need to replace aging meters and pursue a water master plan and SDC update so future rate adjustments can be tied to a current capital plan.
