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Council debates 15–30% water/sewer increase and high 22% late fee; members urge caution for vulnerable residents
Summary
Staff modelled residential minimum bills under 15%, 25% and 30% increases and flagged a current minimum of $69.11; staff suggested a 30% increase to help the utility, while council members raised concerns about impacts on elderly and low-income residents and suggested lowering the compounding 22% late fee to a flat amount and considering a smaller rate hike.
Staff presented modeled bills showing a residential minimum at $69.11 today and projected increases under 15%, 25% and 30% scenarios (examples: $77.03 at 15%, $81.73 at 25%, $84.08 at 30%), and said a 30% increase had been discussed to help the utility recover costs. Staff also noted the city currently charges a 22% late fee that compounds monthly; several council members characterized that late‑fee percentage as unusually high and proposed replacing it with a flat $10 per billing cycle or other reduced approach.
Council members expressed concern for fixed‑income and elderly residents and suggested a phased approach—possibly 20–25%—paired with a reduced late-fee policy. Staff committed to modeling alternative scenarios (e.g., differentiated residential/commercial increases, reduced late fees) and bringing an updated master fee schedule for council review; no formal rate ordinance or vote occurred during the workshop.
"We have residents who are struggling to pay a minimum bill of $69.11," the staff member said, noting the combined impact of a large percentage increase with an aggressive late-fee policy could be substantial for low-income households.
