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Council debates $6,000 tap fee, ERUs and how to fund sewer expansion
Summary
Council discussed whether the city's $6,000-per-ERU tap fee is sufficient to fund future sewer expansion, whether the fee should be adjusted, and whether reservation payments should be placed in escrow to underwrite growth.
Council members and staff discussed the city's current connection and capacity fees as part of the allocation-policy conversation. A consultant and staff referenced a practice used elsewhere of separating a physical connection fee from a system-development or capacity-recovery charge; the transcript records that the "current policy is 6,000 flat for a residential, assuming it's 2 50 gallons," and staff noted that jurisdictions vary widely on how they set those charges.
Council asked whether the $6,000 number remains defensible given planned expansion — staff and consultants suggested a fee study and comparative analysis of neighboring jurisdictions. Staff also proposed that reservation or application fees be collected and held in a reserve or escrow account to fund next-phase expansion rather than mixing operational sewer revenues with capital-build funds. Members emphasized the need for a defensible basis for any fee and cautioned against overcharging applicants; staff said they would provide comparative fee data and analysis.
