No formal action is expected at this work session; however, staff is seeking direction from Council on stormwater fees rate structure, system development fees, and level of service.

In 2020, Public Works presented the “development of a dedicated stormwater utility” as one of the three Public Works’ Priority Goals.  After that initiative, Public Works contracted with a consulting firm to help evaluate the state of the City’s stormwater program and infrastructure.  In June 2021, Public Works presented the findings of that initial assessment at a Council Work Session.  Staff then moved into the next phase of the project during which an Advisory Committee was formed.  The purpose of the Advisory Committee was to help identify key programmatic components that need updating within the stormwater program, and then formulate appropriate responses to the program practices and rates. The four stormwater program components are: deferred maintenance backlog, city-wide capital infrastructure implementation, flood protection capital, and water quality improvements. The Advisory Committee met from August 2022 to March 2023 and identified three independent areas of focus that were then presented to the Council’s Budget and Finance Committee in July and August 2023. These three focus areas require City Council action to proceed. The three focus areas are:  

• Updating the stormwater rate structure 
• Implementing a stormwater System Development Fee (SDF) 
• Selecting an appropriate Level of Service (LOS) with corresponding rates 

During the August Budget and Finance Committee meeting, the Budget and Finance Committee made two of the same recommendations as the Stormwater Advisory Committee. Those recommendations are: updating the stormwater rate structure and adopt an equivalent residential unit, impervious-based stormwater rate structure model, and approve the development of stormwater SDFs.   

For the LOS with corresponding rates analysis, the Stormwater Advisory Committee recommended the “Best Practice” LOS for each of the four stormwater program components. The Budget and Finance Committee recommend that Council select the “Best Practice” LOS for deferred maintenance backlog, flood protection capital, and Water Quality Capital and select a LOS mid-way between the Proactive and Best Practice LOS for City-wide Capital.  

A memo and presentation providing additional details is attached. 

Council action will not be required at this meeting.  Information presented at this meeting is for informational and discussion purposes. 

There are no fiscal impacts associated at this time. Information presented at this meeting is for informational and discussion purposes.