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Item 08 - Water and Sewer Rate Adjustments
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Item 08 - Water and Sewer Rate Adjustments
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1/14/2026 2:34:09 PM
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City Clerk
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Agenda Packet
Agency
Public Works
Item #
8
Date
1/20/2026
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Table 7. Proposed Variable Rates for All Customers, 2026 to 2030 <br />Tier 1 <br />$3.16 <br />$3.44 <br />$3.75 <br />$4.09 <br />$4.42 <br />Tier 2 <br />$5.12 <br />$5.58 <br />$6.08 <br />$6.63 <br />$7.16 <br />Recycled <br />$3.60 <br />$3.92 <br />$4.28 <br />$4.66 <br />$5.03 <br />Current Sewer Rates <br />Currently, the City's sewer customers pay a bi-monthly fixed charge based on their customer class and <br />meter size. The City also charges customers with high fat, oil, or grease (FOG) rates in their sewer outflow <br />a bi-monthly rate based on the total FOG they produce. The current sewer rates are displayed in Table <br />8 and Table 9. <br />Table 8. Current Sewer Fixed Charges <br />5/8" X 3/4" <br />$15.24 <br />$22.82 <br />$25.38 <br />3/4" <br />$21.58 <br />$32.98 <br />$36.78 <br />ill <br />$34.24 <br />$53.24 <br />$59.58 <br />1 1 /2" <br />$65.90 <br />$103.88 <br />$116.52 <br />2" <br />$103.88 <br />$164.68 <br />$184.92 <br />3" <br />$224.16 <br />$357.14 <br />$401.46 <br />4" <br />$401.46 <br />$640.82 <br />$720.58 <br />6" <br />$825.68 <br />$1,319.56 <br />$1,484.16 <br />8" <br />$1,522.16 <br />$2,433.92 <br />$2,737.88 <br />101, <br />$2,408.60 <br />$3,852.24 <br />$4,333.42 <br />Table 9. Current Sewer FOG Charges <br />Per Charge $111.32 <br />Proposed Sewer Rates <br />The recommended sewer rates include a revenue adjustment schedule designed to contribute to the <br />City's reserves and fund significant capital improvements. RDN, working with City staff, determined that <br />an annual revenue adjustment of 13.5 percent in May 2026, followed by a 13.5 percent annual adjustment <br />July 2027, and then 10.0 adjustments July 2028 through July 2030 would fund the recommended financial <br />plan. The proposed rates also revise the rate structure. Notably, the City's current sewer rate ratios are <br />City of Santa Ana - 2026 Water and Sewer Rate Study 8 <br />
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