Vernal Council advances public hearing on tiered water rates aimed at conservation and infrastructure funding

Vernal's City Council discussed a proposed overhaul of the city's water-billing structure on April 15, with staff saying the change would move the utility from a flat-rate model to tiered rates designed to promote conservation and begin funding long-delayed infrastructure replacement. Public Works Director Keith Despain presented data showing single-family residences account for about 67% of residential water use but provide 78% of revenue, and said the proposal would generate approximately $1 million per year to seed a replacement fund for an estimated $80 million in system needs.

Council members and staff focused on practical impacts. Despain described the plan's “Stage 1” normal-rate structure as lowering the base allotment to 4,000 gallons and adding higher tiers for increased usage, while Stage 2 and Stage 3 would be triggered by supply metrics such as snowpack and stream flows to encourage reduced consumption. Water Superintendent Ivan Merrell said the conservation tiers would be used only when supply conditions warrant and emphasized the purpose: "The purpose of the conservation rates is not to generate revenue, but to reduce water usage." Councilmembers requested more granular modeling of household impacts and asked staff to consider whether essential commercial uses (for example, food production or medical facilities) might be treated differently under an appeals process.

The proposal prompted concern from local businesses about the scale of the increases and potential unintended consequences. Zach Galloway, owner of Mort's Car Wash, told the Council that his analysis showed the Stage 1 rates would produce an "approximate 77 percent annual increase in water costs, equating to an estimated $36,000 increase per year," and argued commercial car washes can reduce net basin water use compared with residential washing. Councilmember Nick Porter favored publishing the rates as presented and receiving public input at the hearing; Councilmember Ted Munford asked staff to evaluate raising the base allotment (for example, to 6,000 gallons) to mitigate impacts on typical households.

Next steps: staff will publish the proposed rates and schedule a special meeting for the required public hearing in about two weeks so the Council can receive public testimony before any formal adoption vote. The Council and staff emphasized that conservation stages would be implemented based on defined supply triggers and that an appeals process would be available for unique operational circumstances.