Water and Sewer Rate Study
City of Fort Bragg
March 23, 2026
Background
The City last raised rates in 2019. Both utilities are currently doing well financially with reasonable reserves and positive net revenues (i.e. revenues are covering expenses) The City has been very successful in securing grants for many infrastructure projects. However, rate increases are needed fund improvements that likely won’t be covered by grants.
This rate study proposes new rates each July 1 from 2026 to 2030 The notice of intent to raise rates was mailed to all customers and property owners on February 6 A customer outreach meeting was held on February 17
2 WATER ENTERPRISE
Current Water System Financial Standing
4 Primary driver of the rate adjustment is funding capital costs The City must fund needed infrastructure improvements via rates totaling $1.55M over the next 5 years Noyo River Crossing ($1.2M)
Cedar Street Water Line Design ($320,000) – from the Master Plan; will upsize to a 16” main Oak Street Valves ($30,000) - Addition of two isolation valves to 10-inch water main on Oak Street Plus, the Cedar Street Water Line Construction of $3.3M is proposed to be debt financed and will result in annual payments of $168,400 beginning in FY2029/30
Proposed Water Meter Fees
5 Meter Size
Current
FY2026/27
Residential Customers
5/8 & 3/4"
$36.86
$36.86
$25.49
1"
$52.42
$52.42
$39.94
1.5"
$62.80
$62.80
$76.08
2"
$109.16
$109.16
$119.44
3"
$157.76
$157.76
$190.00
4"
$206.38
$206.38
$265.00
6"
$498.01
$498.01
$600.00
Meter Size
Current
FY2026/27
FY2027/28
FY2028/29
FY2029/30
FY2030/31
Residential Customers
5/8 & 3/4"
$36.86
$36.86
$25.49
$27.53
$29.73
$32.11
$34.68
1"
$52.42
$52.42
$39.94
$43.14
$46.59
$50.32
$54.35
1.5"
$62.80
$62.80
$76.08
$82.18
$88.74
$95.83
$103.51
2"
$109.16
$109.16
$119.44
$129.02
$139.32
$150.45
$162.51
3"
$157.76
$157.76
$190.00
$222.46
$254.92
$287.38
$319.85
4"
$206.38
$206.38
$265.00
$322.96
$380.92
$438.88
$496.85
6"
$498.01
$498.01
$600.00
$697.13
$794.26
$891.39
$988.51
Meter Size
Current
FY2026/27
FY2027/28
FY2028/29
FY2029/30
FY2030/31
Residential Customers
5/8 & 3/4"
$36.86
$36.86
$25.49
$27.53
$29.73
$32.11
$34.68
1"
$52.42
$52.42
$39.94
$43.14
$46.59
$50.32
$54.35
1.5"
$62.80
$62.80
$76.08
$82.18
$88.74
$95.83
$103.51
2"
$109.16
$109.16
$119.44
$129.02
$139.32
$150.45
$162.51
3"
$157.76
$157.76
$190.00
$222.46
$254.92
$287.38
$319.85
4"
$206.38
$206.38
$265.00
$322.96
$380.92
$438.88
$496.85
6"
$498.01
$498.01
$600.00
$697.13
$794.26
$891.39
$988.51
Non-Residential
5/8 & 3/4" Low-Usage
$36.86
$36.86
$25.49
$27.53
$29.73
$32.11
$34.68
5/8 & 3/4"
$74.98
$74.98
$25.49
$27.53
$29.73
$32.11
$34.68
1"
$115.09
$115.09
$39.94
$43.14
$46.59
$50.32
$54.35
1.5"
$141.83
$141.83
$76.08
$82.18
$88.74
$95.83
$103.51
2"
$275.53
$275.53
$119.44
$129.02
$139.32
$150.45
$162.51
3"
$409.24
$409.24
$235.06
$253.92
$274.20
$296.11
$319.85
4"
$542.94
$542.94
$365.14
$394.44
$425.94
$459.97
$496.85
6"
$1,234.61
$1,234.61
$726.48
$784.78
$847.44
$915.13
$988.51
SAME
Proposed Water Usage Rates ($/HCF)
6 Current
Single Family Residential
Tier 1: 0-5 HCF
$3.49
Tier 2: 6-10 HCF
$5.23
Tier 3: 11+ HCF
$7.84
Non-Single Family Residential
All Use
$6.01
FY2026/27
FY2027/28
FY2028/29
FY2029/30
FY2030/31
$7.74
$8.36
$9.03
$9.75
$10.53
All usage ($/HCF)
1 HCF = 748 gallons
Current & Proposed Avg Water Bill
7 Rate
Rate
Count
Charges
Meter Fee 5/8”
$36.86
$36.86
X
1 $36.86
Usage Rates
Tier 1: 0-5 HCF
$3.49
$3.49
X
4 $13.96
Tier 2: 6-10 HCF
$5.23
$5.23
X
0 $0.00
Tier 3: 11+ HCF
$7.84
$7.84
X
0 $0.00
TOTAL MONTHLY BILL
$50.82
Rate
Rate
Count
Charges
Meter Fee 5/8”
$25.49
$36.86
X
1 $25.49
Usage Rates
All Usage
$7.74
$3.49
X
4 $30.96
$5.23
$7.84
TOTAL MONTHLY BILL
$56.45
+11%
Current
Proposed July 1, 2026
Water Bill Survey
8 SEWER ENTERPRISE
Current Sewer System Financial Standing
10 This year, the City will draw down reserves about $2.6M to fund the biosolid dryer building design, biosolids storage building, and pipeline work Main drivers for the rate adjustment are building reserves back up and funding additional improvements The City’s wastewater master planning team has identified $12M of sewer pipeline improvements. This rate study will fund the first $5M via rate revenues.
This is an on-going program to repair sewer mains that are failing when leak repairs have become chronic or a significant source of inflow & infiltration (I&I) has been identified.
Plus, the Wastewater Treatment Plant Main Replacement of $4.5M is proposed to be debt financed and will result in annual payments of $230,000 beginning in FY2029/30. This the 36” line that leads to the plant.
Proposed Fixed Sewer Charges
11 Customer Type
Current
FY2026/27
FY2027/28
FY2028/29
FY2029/30
FY2030/31
Residential Customers
Per dwelling
+12%
+12%
+12%
+12%
All Residential Customers
$28.89
$14.47
$16.21
$18.16
$20.34
$22.78
Non-Residential Customers
Per business
All businesses
$28.89
$14.47
$16.21
$18.16
$20.34
$22.78
Customer Type
Current
FY2026/27
Residential Customers
Single Family Residential
$7.31
$12.93
Multi-Family Residential
$3.28
$12.93
Mobile Home Parks
$0.23
$12.93
Non-Residential Customers
Low Strength
$9.90
$11.39
Medium Strength
$10.19
$12.93
Breweries
$20.30
$20.01
High Strength
$25.38
$22.98
Customer Type
Current
FY2026/27
Residential Customers
Single Family Residential
$7.31
$12.93
Multi-Family Residential
$3.28
$12.93
Mobile Home Parks
$0.23
$4.25
Proposed Sewer Flow Rates ($/HCF)
12 HCF = hundred cubic feet
1 HCF = 748 gallons
Single family residential sewer flow is based on winter water usage subject to a 2HCF minimum Customer Type
Current
FY2026/27
FY2027/28
FY2028/29
FY2029/30
FY2030/31
Residential Customers
+12%
+12%
+12%
+12%
Single Family Residential
$7.31
$12.93
$14.48
$16.22
$18.17
$20.35
Multi-Family Residential
$3.28
$12.93
$14.48
$16.22
$18.17
$20.35
Mobile Home Parks
$0.23
$4.25
$8.27
$12.29
$16.31
$20.35
Non-Residential Customers
Low Strength
$9.90
$11.39
$12.76
$14.29
$16.00
$17.92
Medium Strength
$10.19
$12.93
$14.48
$16.22
$18.17
$20.35
Breweries
$20.30
$20.01
$22.41
$25.10
$28.11
$31.48
High Strength
$25.38
$22.98
$25.74
$28.83
$32.29
$36.16
Current & Proposed Single Family Sewer Bill
13 Current
Proposed July 1, 2026
Rate
Count
Charges
Fixed Fee
$28.89
X
1 $28.89
Flow Rate
$7.31
X
4 $29.24
TOTAL BILL
$58.13
Rate
Count
Charges
Fixed Fee
$14.47
X
1 $14.47
Flow Rate
$12.93
X
4 $51.72
TOTAL BILL
$66.19
+14%
Sewer Survey
14 15
Water & Sewer Combined Survey
Wrap Up
16 The rates shown in the Proposition 218 notice are the legal maximum rates that the City could adopt The City has a Utility Bill Assistance Program that offers up to $800 of assistance to eligible households Customers and property owners have the right to submit written protests. Only one protest per parcel will be counted If a majority of impacted parcels protest, the rates cannot be adopted. There are 2,657 parcels. A majority is 1,329 valid protests.
Absent a majority protest, the rates can go into effect on July 1, 2026