City Council Increases Sewer Rate Fee

The City Council voted to increase the City’s sewer rate fee on Monday.

The proposed “Revised Rate” structure raises the average residential monthly sewer use fee from $4.55 to $11.05, marking the first time the City has pursued an increase beyond the consumer price index since 2007.

Each dollar increase by local residents will lead to $700,000 annually in revenue, but the City needs about $4 million, which is why it needs a substantial increase.

The increase is the first of several proposed increases that could impact local residents. The City Council is scheduled to hold a public hearing on increasing refuse fees next week. Several City Councilmembers also said local residents will pay more for power soon.

Councilmember Tyron Hampton said he thought the City Council should be looking at all of the potential increases on the same night.

“I think all three of them should be in front of us,” Hampton said. “On the same night.”

The city needs approximately $7.6 million annually to fully fund the sewer collection program. However, the City currently collects only $3.9 million on average each year.

To make matters worse, the City has struggled with aging infrastructure in the sewer system and has delayed capital improvement projects to try and keep basic operations underway.

“As much as we want to be mindful of the impact on our residents, the greater risk is that we have a public health crisis because we’re not safely and efficiently removing waste from people’s homes and businesses,” said Councilmember Jess Rivas.

Citywide, approximately 80% of the City’s sewer pipelines are over 80 years old and most of the system, 89%, is constructed of Vitrified Clay Pipe (VCP). The estimated lifespan of VCP pipe is anywhere from 60 to 100 years and is primarily a function of proper and timely maintenance.

The City owns and operates a sewer wastewater collection system that serves approximately 140,000 residents and the City’s commercial users. The sewer system includes approximately 325 miles of sewer pipelines, three pump stations, and approximately 7,430 manholes. To help balance the fund and maintain service levels over the last few years, needed capital improvements have been deferred and the Sewer Fund operating reserve balance has been depleted.

The last time the item came up, Vice Mayor Steve Madison questioned Pasadena Water and Power’s use of its budget. The Council approves the budget, and departments are required to come back to the City Council for budget amendments. Madison said the department’s numbers were not adding up and emphasized monies were supposed to be in the required account.

Madison was not present when the item was heard on Monday.

“I really understood that the fact that our rates are lower than our sister cities, even when we go up, is cold comfort when you’re looking at a 300% increase, and this is a struggle for us, it’s hard,” said Councilmember Jason Lyon.

“And knowing that we’re looking at doing this again next week and in two weeks, at least a year out from any power rate changes, we just started a contract for that study. That’ll be a while. But I think we’re all aware and feeling the weight of the burden that this is imposing.”