Utility Rate
Implementation
GROVERBEACH.ORG
Nick Szamet, Administrative
Services Director
Background
GROVERBEACH.ORG
• Council requested report on February 26, 2024.
• Review of rate increase implementation followed existing billing practices for Grover Beach.
• Bi-monthly billing schedule impacts rate application timing. • Comparative analysis with other municipalities shows mixed results relative to timing of increases.
• Public feedback indicated unawareness that billing was based on usage prior to effective date of rate increases.
Recommendation
GROVERBEACH.ORG
• Shift to applying updated rates prospectively from February 1, 2024.
• Prorate usage across billing cycles to commence Feb. 1. • Credit adjustment for previous billings, estimated $26 per account.
• Impact of credit to be around $92K total to the Water and Wastewater Funds.
• No significant impact on cash position of the funds expected.
Moving Forward
GROVERBEACH.ORG
• Staff will place an emphasis on improved communication when implementing future rate increases.
• City is in the middle of implementing a new billing system to aid in transparency and efficiency of billing process.
Questions
GROVERBEACH.ORG