Item 23 - Public Hearing to Consider Proposed Water and Sewer Rate Adjustments

Home Browse Search

RESOLUTION NO. 2026-XXXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA ADJUSTING RATES FOR WATER AND SEWER SERVICES PROVIDED BY THE CITY OF SANTA ANA WHEREAS, Chapter 39 of the Santa Ana Municipal Code, Article 11, Sections 39- 19 and 39-36, authorize the City to set and charge fees for the provision of water to customers within the City of Santa Ana and to establish those fees by resolution; and WHEREAS, Chapter 39 of the Santa Ana Municipal Code, Article III, Sections 39- 55.1, 39-55.2, and 39-55.4, authorize the City to set and charge fees for the provision of sewer services to customers; and WHEREAS, this Resolution adjusting water and sewer service rates shall apply only to Chapter 39 of the Santa Ana Municipal Code, Water and Sewers; and WHEREAS, the City previously retained Robert D. Niehaus, Inc., independent financial consultants, to review the City's water and sewer utilities to determine whether rates for service charges are sufficient to meet increase costs of service, and to prepare a cost of service analysis and rate study (the "Study"); and WHEREAS, based on the results of the Study, which was presented to City Council on January 20, 2026 (a copy of which is available for inspection at the City and was also posted on the City's website), increases to the rates for water and sewer service fees and charges are necessary; and WHEREAS, the proposed water rate structure includes a variable water usage charge and a fixed monthly water utility charge, both billed on a monthly basis. The proposed variable water rates are based on the amount of total water used, measured per hundred cubic feet ("CCF"). The fixed monthly water utility charge is independent of the amount of water used and is determined based on the size of the meter serving the property, as measured in inches; and WHEREAS, the proposed water rate structure also includes an updated to the Pass -Through Adjustment Policy to permit increases to City Water Usage Charges to offset future increases in the cost of purchasing wholesale water needed to supply the City's water system that may be imposed on the City by the Orange County Water District or the Metropolitan Water District; and WHEREAS, the proposed sewer utility charge is a fixed, monthly charge, based on the size of the meter serving the property, as measured in inches; and Resolution No. 2026-XXX Page 1 of 5