RESOLUTION NO. 2025-035
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON
ADOPTING AMENDED WATER RATES SCHEDULE AND REPEALING
ALL RESOLUTIONS IN CONFLICT THEREWITH
SECTION 1. Recitals.
A. The City of Vernon (City) is a chartered municipal corporation of the State of California that owns and operates a potable water system.
B. Pursuant to Vernon Municipal Code Section 13.08.010, all water rates shall be set by resolution of the City Council.
C. On November 4, 2025, staff presented the City Council of the City of Vernon with the results of the Water Cost of Service (COS) Study, which was prepared by NewGen Strategies & Solutions, LLC (NewGen). Staff also initiated the California Proposition 218 (Proposition 218) process to gather public testimony regarding the adoption of the Amended Water Rate Schedule.
D. VPU staff has collaborated with its rate consultant, NewGen, to determine the cost of service in accordance with Proposition 218 requirements. To achieve financial targets, establish reserve balances, and maintain water system capital investment to ensure the highest reliability standards, the Water COS Study recommends a 7% annual increase from fiscal year 2025-26 through fiscal year 2029-30, with each increase taking effect on January 1 of the respective year.
E. Pursuant to California Government Code 53756, the proposed increase to water rates will also authorize automatic adjustments that pass-through to water customers increases in wholesale charges to the City from the Water Replenishment District, and/or the Metropolitan Water District. These pass-through adjustments will solely be applied to the Water Consumption Rate per 100 Cubic Feet (CCF) and will only reflect actual costs in excess of estimated costs already included in the proposed rates.
F. On December 16, 2025, the City Council of the City of Vernon held a full and fair public hearing regarding the proposed water rates.
G. As required by Proposition 218, notice of the Public Hearing was mailed to all affected water customers not less than 45 days prior to the hearing.
H. Pursuant to the City’s policy on accepting and tabulating protests, the City Clerk has accepted written protests regarding the proposed water rates.
I. The City Clerk has determined, and the City Council confirms, that a majority protest against the proposed water rates does not exist.
J. The City Council of the City of Vernon desires to amend the Water Rates Schedule.
K. On October 28, 2025, public notice of the proposed amended Water Rates Schedule and notice of public hearing was published in the Los Angeles Wave (Huntington Park Bulletin).
L. The City Council of the City of Vernon has heard and considered all evidence, both written and oral, presented in consideration of the proposed amended Water Rates Schedule.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS:
SECTION 2. The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct.
SECTION 3. The City Council of the City of Vernon hereby finds that this action is exempt from California Environmental Quality Act (CEQA) review pursuant to CEQA Guidelines Section 15273(A)(4), which states that CEQA does not apply to the establishment, modification, structuring, restructuring, or approval of rates, tolls, fares, and other charges by public agencies which the public agency finds are for the purpose of meeting operating expenses, purchasing for leasing supplies, equipment, or materials, meeting financial reserve needs and requirements, and obtaining funds for capital projects, necessary to maintain service within existing service areas.
Furthermore, even if the proposed changes in water rates were subject to CEQA review, the approval requested is exempt in accordance with CEQA Guidelines Section 15061(B)(3), the general rule that CEQA only applies to projects that may have a significant effect on the environment.
SECTION 4. The City Council of the City of Vernon hereby amends the Water Rates Schedule to be effective January 1, 2026, a copy of which is attached hereto as Exhibit A.
SECTION 5. All resolutions or parts of resolutions, specifically Resolution No. 2019-51, not consistent with or in conflict with this resolution are hereby repealed.
SECTION 6. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications, and to this end, the provisions of this Resolution are declared to be severable.
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Resolution No. 2025-035
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SECTION 7. The City Clerk, or Deputy City Clerk, shall certify the passage and adoption of this resolution and enter it into the book of original resolutions.
APPROVED AND ADOPTED December 16, 2025.
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LETICIA LOPEZ, Mayor
ATTEST:
GENOVEVA ROCHA, City Clerk
APPROVED AS TO FORM:
ZAYNAH MOUSSA-MILWARD, City Attorney
Resolution No. 2025-035
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CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF VERNON )
I do hereby certify that the attached is a true copy of Resolution No. 2025-035 that was passed and adopted at the Regular Meeting held on December 16, 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
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GENOVEVA ROCHA, City Clerk
Resolution No. 2025-035
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Exhibit A
Schedule Of Water Rates and Fees
Effective
January 1,
2026
Effective
January 1,
2027
Effective
January 1,
2028
Effective
January 1,
2029
Effective
January 1,
2030
1) Monthly Charges for Meters
Meter Size
5/8" $19.82 $21.20 $22.69 $24.28 $25.98
3/4" $29.72 $31.81 $34.03 $36.41 $38.96
1" $49.54 $53.01 $56.72 $60.69 $64.94
1-1/2" $99.11 $106.05 $113.48 $121.42 $129.92
2" $158.58 $169.69 $181.56 $194.27 $207.87
3" $297.34 $318.16 $340.43 $364.26 $389.76
4" $495.58 $530.27 $567.39 $607.11 $649.61
6" $991.13 $1,060.51 $1,134.75 $1,214.18 $1,299.17
8" $1,585.84 $1,696.84 $1,815.62 $1,942.72 $2,078.71
2) Water Consumption Rate
per 100 Cubic Feet (CCF) $2.65 $2.84 $3.04 $3.25 $3.48
3) Monthly Square Footage
Charge for Fire Protection
Services:
Per square foot of buildings or
outside storage $0.00439 $0.00469 $0.00502 $0.00522 $0.00551 4) Water Rate per 100 Cubic
Feet (CCF) of Reclaimed
Water:
$1.94 $2.08 $2.22 $2.38 $2.54
5) Min. charge for Temporary
Installation and Relocation:
Initial temporary installation $200.00 $200.00 $200.00 $200.00 $200.00 Relocation of said service $50.00 $50.00 $50.00 $50.00 $50.00 Water furnished through said temporary connection shall be at the rate of one and one-half times the consumption rate shown in Section 2.
6) Deposit for Temporary
Meter: $2,500.00 $2,500.00 $2,500.00 $2,500.00 $2,500.00 7) Fire Flow Testing Fee-Per
Test $350.00 $350.00 $350.00 $350.00 $350.00
Resolution No. 2025-035
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The rates and charges are established in accordance with Section 13.08.010 of the Vernon Municipal Code.
In addition, pursuant to California Government Code 53756, the proposed increase to water rates will authorize automatic adjustments that pass-through to the water customers increases in wholesale charges to the City from the Water Replenishment District of Southern California (WRD), and/or water purchased from the Metropolitan Water District of Southern California (MWD). These pass-through adjustments will solely be applied to the Water Consumption Rate per 100 Cubic Feet (CCF) and will only reflect actual costs in excess of estimated costs already included in the proposed rates.
Resolution No. 2025-035
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