Water prices rise, city council approves 42% increase within 5 years

Water prices rise, city council approves 42% increase within 5 years

The proposed staggered increase in water rates met with little public opposition during the council meeting on Wednesday evening. Only five people protested the decision and two spoke at the podium. Nevertheless, the council called it a “necessary evil” and unanimously approved the price change, citing the city’s urgent need for water supplies.

Consultant Dan Bergmann, who has worked with the city for 20 years, explained the increases as starting at 15% in October, followed by another 15% and steady 4% increases over the next four years to track inflation. Bergmann stressed that single-family homes would benefit from the new rates because they would be the least affected. Multifamily and commercial customers are expected to bear a larger share of the financial burden. Bergmann stressed the need to distribute the rate increase in a way that offsets service costs, particularly by shifting some of the financial responsibility away from single-family homes.

Bergmann explained that water sales have declined significantly since 2021, mainly due to the ongoing drought, which has led to a loss of revenue for the city. In the 2023-2024 fiscal year, sales have declined further, making the tariff increase necessary.

Under the new structure, seasonal rates will remain, fluctuating between summer and winter. One notable change is that charges will now be applied for all water that passes through a meter. The previous rule, which was free for the first 300 cubic feet, will no longer apply. To mitigate the impact, the base rate has been reduced to make up the difference.

Bergmann provided examples to illustrate the financial impact on local businesses. A typical hair salon in Susanville, for example, can expect a $10 increase in its monthly water bill. A local car wash, on the other hand, can see its bill increase by nearly $100 per month.

Following approval by the Council, the new tariffs will come into force on October 1. These tariffs are to be reviewed again in September 2025.

Council Member Parrish emphasized the need for the increase after public comments, stating, “We’re going to pay for this one way or another,” citing state regulations and mandates that force the city to act. Council Member Brown attributed the large increase to the lack of more frequent rate studies. CLIP 4
Council Member Bortle echoed this sentiment and emphasized the importance of developing long-term strategies to protect the city’s water system.

Bergmann warned that without the increase, the city could face a quarter-million-dollar deficit next year and that the proposed fee increase structure would prevent a significant 30% increase to offset that deficit.

The Council’s decision is intended to enable the sustainability of Susanville’s water resources.

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