Regular 5.
City Council Regular Business Meeting
- Meeting Date:
- 06/08/2026
- TITLE
- Public Hearing and Resolution Setting FY27 Storm Sewer System Fees
- PRESENTED BY:
- Jennifer Duray
- Department:
- Public Works
Presentation:
Yes
Legal Review:
Yes
Project Number:
N/A
RECOMMENDATION
Storm sewer system fees are established annually by resolution and assessed based on impervious surface area using the Equivalent Residential Unit (ERU) methodology. The proposed FY27 adjustment is the third year of a previously approved seven-year plan to proactively address deferred maintenance, capital needs, and service level improvements for the City’s more than $1 billion storm sewer system.
The proposed adjustment would increase the average residential monthly fee by $1.15, from $8.81 to $9.96, and generate approximately $10.68 million in FY27 revenue, an increase of approximately $1.28 million over FY26.
The proposed adjustment would increase the average residential monthly fee by $1.15, from $8.81 to $9.96, and generate approximately $10.68 million in FY27 revenue, an increase of approximately $1.28 million over FY26.
EXECUTIVE SUMMARY
Storm sewer system fees are established annually by resolution and are billed monthly as part of utility charges. The fees are determined based on impervious surface area and the Equivalent Residential Unit (ERU). One ERU represents an area of 3,751.22 SF.
The average residential property has a calculated ERU of 1.0 (3,751.22 SF). Each developed single-family residential property is assessed at 1.0 ERU. Duplex properties are rated at 1.5 ERUs and undeveloped/ vacant properties are assigned 0.75 ERU. For all other properties, the ERU is determined by dividing the measured impervious surface area by 3,751.22.
Staff recommends raising the monthly rate from $8.81 per ERU to $9.96 per ERU in alignment with the gradual rate increase seven-year plan previously approved by the City Council.
The average residential property has a calculated ERU of 1.0 (3,751.22 SF). Each developed single-family residential property is assessed at 1.0 ERU. Duplex properties are rated at 1.5 ERUs and undeveloped/ vacant properties are assigned 0.75 ERU. For all other properties, the ERU is determined by dividing the measured impervious surface area by 3,751.22.
Staff recommends raising the monthly rate from $8.81 per ERU to $9.96 per ERU in alignment with the gradual rate increase seven-year plan previously approved by the City Council.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
Storm sewer system fees are established annually by resolution and are billed monthly as part of utility charges. The fees are determined based on impervious surface area and the Equivalent Residential Unit (ERU). The average residential property has a calculated ERU of 3,751.22 square feet. Each developed single-family residential property is assessed at 1.0 ERU. Duplex properties are rated at 0.75 ERUs per unit and undeveloped properties are assigned 0.75 ERUs. For all other properties, the ERU is determined by dividing the measured impervious surface area by 3,751.22.
The storm sewer system represents a critical infrastructure asset valued at more than $1 billion. Previously, the City Council approved a seven-year plan aimed at enhancing service levels and addressing capital and deferred maintenance backlogs more efficiently. The proposed rate adjustment for Fiscal Year 2027 is the third in this gradual seven-year increase, supporting proactive maintenance of the storm sewer system.
The storm sewer system represents a critical infrastructure asset valued at more than $1 billion. Previously, the City Council approved a seven-year plan aimed at enhancing service levels and addressing capital and deferred maintenance backlogs more efficiently. The proposed rate adjustment for Fiscal Year 2027 is the third in this gradual seven-year increase, supporting proactive maintenance of the storm sewer system.
FISCAL EFFECTS
The proposed storm sewer fees will increase the average residential property's monthly fee by $1.15 from $8.81 to $9.96. The fees will generate approximately $10,683,000 in FY27, an increase from the prior year of $1,283,000.
STAKEHOLDERS
ALTERNATIVES
City Council must hold a public hearing and then may:
- Approve the recommended resolution; or,
- Approve an amended resolution; or,
- Not approve a resolution. If Council does not approve a resolution, an amended resolution to establish storm sewer fees will need to be considered at a future City Council meeting to establish rates for fiscal year 2027.