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Gold Hill staff defend water rate implementation, cite billing errors and equipment upgrades
Summary
City staff told the council they have corrected billing precision to match the 2023 water rate study, are tracking usage data to explain some high bills, and reported a prior reversed‑billing error that cost about $24,000 in lost revenue; the city is pursuing meter replacements, hydrant testing and a reservoir design grant.
City staff updated the Gold Hill council on Oct. 14 about water system operations, billing changes and ongoing infrastructure work, and responded to written questions from a former councilor about rate implementation.
A staff member said the councils intent and the engineers recommendations had been followed but that prior staff had not implemented service fees and rate tiers consistently. The staff member said the city had adjusted billing precision to the thousandth place to match the water rate study (for example, a rate that printed as 0.019 was changed to 0.0187) to reflect the engineers projections.
The staff member also said they are compiling account‑level data showing usage by tier and will compare current consumption to the same accounts a year earlier to identify outliers. "We are getting you numbers to show specifically where we are with the bills in which tiers," the staff member said, adding that most of last month's bills were under $200 and that over 60% were under $100.
Staff acknowledged a prior billing adjustment in which a former staff member reversed charges and the city realized an approximately $24,000 revenue loss in a single month; staff said they are refining a written response and will provide data to the council and the citizen who raised the concern.
On infrastructure, staff said they are working on a water master plan update, a CDBG design grant for a new reservoir and generators, hydrant flow testing (with plans to train city staff to take over testing from a contractor), and replacement of chlorine sensors that have failed intermittently. The staff member invited councilors to site tours and to participate in a Nov. 3 regional solutions team visit so they can see the projects firsthand.
No formal council action on water rates was taken at the meeting; staff said they will circulate the detailed written responses and the usage data to the council.
