SUPPLEMENTAL MATERIAL
1 Responses to City Council Agenda Items – June 2, 2026 Regular Meeting
Agenda Item #11: Approve the proposed Sewer Rate Structure, Sewer Rate, and updated Sewer Connection Fees to support implementation of the Sewer Rate Study's Financial Plan Scenario 1 - Maintain
1. Last November, the projected failure rate of the system was based on closed- circuit television (CCTV) inspections. At that time, only about 30% of the system had been inspected by CCTV, so the condition of the remaining 70% of the system was an estimate. I’m assuming CCTV inspections are continuing, has the failure or condition rate changed since those additional inspections? (Note this was meeting held on 11/4 and was an item continued from 10/21).
A. Since November, Public Works has continued its annual sewer cleaning and CCTV inspection program, which targets approximately 190,000 linear feet of sewer main each year. This ongoing effort allows the City to complete a full inspection cycle of the sewer collection system approximately every seven years.
As additional CCTV inspections have been completed, staff has gathered more detailed condition information on the sewer system. Based on the inspections performed to date, there has not been a significant change in the overall projected condition or failure rate of the system compared to what was presented in November. As a result, the assumptions used in the sewer rate study and the recommended Maintain Scenario remain valid.
While the overall system condition has remained generally consistent with previous projections, the additional inspections have enabled staff to better identify and prioritize specific locations requiring rehabilitation or replacement.
For example, recent CCTV inspections identified additional deteriorated sewer main segments along Denker Road that warrant replacement. To address this deficiency and reduce the risk of future failures, approximately $1.09 million has been included in the FY 2026/27 Capital Improvement Program for sewer main replacement in this area.
Staff will continue to perform CCTV inspections and condition assessments to refine project priorities, improve asset management planning, and ensure that capital investments are focused on the highest-risk portions of the system.
SUPPLEMENTAL MATERIAL
2 In addition, staff recently initiated a condition assessment program for the City’s 4.9 miles of sewer force mains. Unlike gravity sewer mains, force mains operate under pressure and cannot be inspected using conventional CCTV methods. This is the first comprehensive force main inspection effort undertaken by the City and will provide valuable information regarding the condition of these critical assets, helping to further improve long-term infrastructure planning and risk management.
2. The per capita number 51 gallons per person seems high? (Page 5 of 15) A. For wastewater cost-of-service studies, indoor water use assumptions typically range from about 45 to 55 gallons per capita per day (gpcd), depending on local conditions, conservation practices, housing characteristics, and climate. The gallons per capita per day of indoor residential water consumption of 51gpcd used in the sewer rate study is within this range and was derived from the City’s Annual Urban Water Use Objective and Water Use Report. It is not considered high.
3. In Table 2, single-family vs single-family with second residence, what is the methodology?
A. For properties with a second residence unit, the analysis assumes a larger number of occupants and, therefore, greater indoor water use and wastewater generation than a typical single-family residence. Residential wastewater generation is estimated based on household size and indoor residential water use (gpcd). According to the 2024 American Community Survey data, the average Single-Family household in Pleasanton has approximately 3.06 residents, while the average Multi-Family household has approximately 2.12 residents. The Single-Family with Second Residence category assumes one primary Single-Family dwelling and one smaller secondary dwelling unit, resulting in a total estimated occupancy of 5.18 residents (3.06 + 2.12).
4. In the presentation Table 2, please explain why homes are calculated differently from the commercial?
A. Residential and commercial customers generate wastewater differently and therefore require different methodologies. Residential wastewater generation is estimated using household size and indoor water use assumptions because residential water use can vary based on occupancy and housing type. Commercial wastewater generation is based on actual winter water use data, which provides a direct measure of typical wastewater discharge for each business. This approach helps ensure that each customer class is assigned costs based on the best available indicator of wastewater generation.
SUPPLEMENTAL MATERIAL
3 5. On page 7 of 15 (third paragraph) restaurant data from $1200 to $1700 per month, is the rate increase going to put our local businesses at risk for failure? A. Staff recognizes that increases in utility costs can impact local businesses, including restaurants. The proposed rates are designed to recover the actual cost of providing wastewater collection, treatment, regulatory compliance, infrastructure maintenance, and future system replacement necessary to maintain reliable sewer service for the community.
A typical full-service restaurant using approximately 154 units of water would see its bimonthly sewer bill increase from approximately $1,239 to $1,703, an increase of $463 per billing cycle. This equates to approximately $7.72 per day.
AT the April 21, 2026, City Council workshop, staff demonstrated that the proposed restaurant sewer rates remain generally comparable to rates charged by neighboring Tri-Valley agencies. After the proposed increase, Pleasanton's restaurant sewer rates remain competitive with and generally consistent with rates charged by neighboring Tri-Valley agencies, indicating that Pleasanton is not an outlier in the regional market. The regional comparison is included on Page 8 of 9 of the April 21, 2026 workshop staff report.
6. In Table 5, why did rates go down in 2024?
A. The decrease in the Single-Family DSRSD treatment charge in FY 2024 was the result of DSRSD’s 2023 Cost-of-Service Study. That study established rates for FY 2024 and resulted in a slight reduction to the Single-Family treatment charge, while other customer classes experienced larger increases.
SUPPLEMENTAL MATERIAL
4 7. Can we share the incremental and hybrid tables in the presentation (similar to the buy-in methodology) (page 12 of 15)?
A. An incremental fee was not calculated because the City does not currently have any planned sewer expansion capital projects that would serve as the basis for an incremental fee. A hybrid fee is a combination of a buy-in fee and an incremental fee. Since there is no incremental fee component, the resulting connection fee consists solely of the buy-in methodology.
8. Regarding Ruby Hill, please clarify that the recommendation is to remove the subsidy?
A. Staff recommends that any discussion regarding the Ruby Hill subsidy be considered as part of the City's broader General Fund budget process rather than through the sewer enterprise rate-setting process. This approach separates policy decisions regarding General Fund support from the cost-of- service analysis used to establish sewer rates.
The current General Fund impact associated with the subsidy is approximately $31,000 annually. Any future decision to continue, modify, or eliminate the subsidy would be subject to City Council discussion and direction through the budget process.
Submitted On: Jun 2, 2026, 11:21AM PDT
City Council Regular Meeting - Submit your
written public comment
City of Pleasanton
Full Name First Name: Casey
Last Name: Fields
Email (this entry is disclosable if included) [email protected] Meeting type Regular Meeting - 7 pm
Agenda Item Number 1
Comments I’d like take a moment to rebuke council members; Jeff Nibert and Julie Testa for prioritizing their leftist political beliefs rather than focusing on the City of Pleasanton. The “formal opposition” of how the federal government chooses to use their property in an unrelated city is beyond the responsibility of this council and should not have been considered for as a voting measure. The two opposing voters: Nibert and Testa, are here primarily to push their leftist agenda. I am calling for them to publicly resign from the city council if they cannot prioritize the city of Pleasanton and its citizens. I find them both to be grossly incompetent as representatives.
Submitted On: Jun 2, 2026, 09:42AM PDT
City Council Regular Meeting - Submit your
written public comment
City of Pleasanton
Full Name First Name: Kellene
Last Name: Cousins
Email (this entry is disclosable if included) [email protected] Meeting type Regular Meeting - 7 pm
Agenda Item Number 12
Comments To Mayor, City Council Members and City Staff:
I am in favor of putting the TOT increase for the full 12% level on the November 2026 ballot. If 65% of the surveyed community members are in favor of the tax why wait until 2028 for the full increase? The city needs the additional revenue now!
Many surrounding cities will follow our lead to increase their TOT.
Thank you!
Kelly Cousins
From: Yianna Theodorou
To: Pleasanton City Clerk
Subject: Submission of Chamber Letter - June 2 City Council Meeting Date: Friday, May 29, 2026 11:30:31 AM
Attachments: Letter for City of Pleasanton Proposed Transient Occupancy Tax Ballot Measure.pdf Hello,
Attached is a letter from the Pleasanton Chamber of Commerce regarding the proposed Transient Occupancy Tax (TOT) ballot measure being considered at the June 2 City Council meeting.
Please include it as part of the public record for the agenda item.
Thank you very much and please let me know if you need anything further.
Yianna Theodorou
President/CEO
Pleasanton Chamber of Commerce
777 Peters Avenue
Pleasanton, CA 94566
(925) 846-5858 ext. 203
www.pleasanton.org
“We are the community that helps businesses start, grow, and thrive.”
May 28, 2026
Dear Mayor Balch and City Council Members,
On behalf of the Pleasanton Chamber of Commerce, we appreciate the opportunity to provide input regarding the proposed draft resolution and ordinance related to a potential local Transient Occupancy Tax (TOT) ballot measure for the November 3, 2026 General Municipal Election.
The Chamber understands the importance of maintaining the City’s long-term fiscal stability while also supporting a strong business climate that encourages tourism, hospitality, economic development, and investment in Pleasanton.
At this time, while the Chamber has not taken a formal position on the measure itself, we do believe the community should have the opportunity to weigh in directly. Our position is that the proposal should be placed on the ballot and ultimately decided by the voters.
We believe open public discussion and transparency are important as this process moves forward, including clear communication about the purpose of the measure, how potential revenue would be used, and what the broader impacts may be for residents and the business community.
Pleasanton has always benefited from strong collaboration between the City, residents, and local businesses. We appreciate the Council’s willingness to engage the community on im- portant issues like this and look forward to continuing to be part of those conversations.
Thank you for your consideration and for your continued service to the Pleasanton community.
Sincerely,
Brock Roby Yianna Theodorou
2026 Chair President/CEO
Pleasanton Chamber of Commerce • 777 Peters Avenue • Pleasanton, CA 94566 • www.pleasanton.org 2026 BOARD OF DIRECTORS
Board Chair
Brock Roby
SF Bay Fellowship
Chair-Elect
Shareef Mahdavi
Merchant Advocate
Treasurer
Bob Rossi
Sunshine Saloon
Past Chair
Arne Olson
Retired/Former City Council
Member
Vice Chair, Membership
Ken Norvell
CMIT Solutions of Pleasanton
Vice Chair, EDGR
Bill Wheeler
Black Tie Transportation
Directors
Billy Buckley
ENT Networks, Inc.
Manny Peregrina
VIP Audio Visual Company Inc.
David Wong, D.C.
David Wong Chiropractic
Monica Davila
Stanford HealthCare Tri-Valley
Geno Ashley
Hoge Fenton
Shelley Despotakis
Chicago Title Company
Amie Clarke
Workday, Inc.
Anila Page
Kaiser Permanente
Sarah Pease
Alameda County Fairgrounds
STAFF
President/CEO
Yianna Theodorou
Pleasanton Chamber
of Commerce
Brock Roby Yianna Theodorou