West Linn rate study shows steep near‑term increases in model tied to key grants; charter caps larger increases

City consultants presented a multi‑year water rate analysis that examined how to fund the full water capital plan between 2026 and 2035. The consultant illustrated one scenario that included a 25% rate increase in the first year, a second 25% increase the following year and then annual adjustments of roughly 5% to keep up with capital and operations needs. "If we were to follow this schedule... you'd need a 25% followed by the fives," Amanda said while showing customer bill impacts.

Staff emphasized that the scenario was illustrative and depends heavily on assumed grant funding. City staff told the council the model assumes $6.25 million in grants and specifically highlighted a $5 million state grant for a required Abernethy Bridge waterline replacement; staff said that state grant looked increasingly likely but federal funding remained uncertain. City staff warned that without the assumed grants, modeled rates could need to be roughly 10 percentage points higher in the near term.

Councilors and the Utility Advisory Board pressed on rate design details — fixed vs. volumetric charges, demand charges, and equity across meter sizes — and stressed the need for clear public messaging if large changes proceed or if the council must place a measure on the ballot because the charter limits rate increases above 5% per year without voter approval (cited as City charter, chapter 10, section 44). Staff said the rate study results will inform priorities, and that the council could pursue a mix of grants, bonds and rate changes depending on policy choices.