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Posted on: June 26, 2018

Water and Sewer Draft Rate Study Released

Fee Study

The City released the draft rate study for the City’s water and sewer enterprise funds.  The rate study, drafted by the rate consultant firm Bartle Wells, is a projection of the rates needed to fund the new Water Reclamation Facility (WRF).  The WRF will replace the aging wastewater facility that is currently not meeting water quality regulatory standards and Coastal Commission permit requirements.  In addition, the WRF project will provide an alternative source of water to improve our water resiliency and security, in the face of drought and state water disruptions.  According to the rate study, which was vetted by the Blue Ribbon Commission, the total rate impact for the WRF facility is $41/month for rate payers.  Factoring in the WRF project, the total combined water and sewer rate would be $191/month for the average residential water and sewer rate payer in Morro Bay. This rate represents a 27.3% increase over previously approved rates and would go into effect July 2019, if approved through the proposition 218 process.

The rate study will be discussed by City Council during their June 28, 2018 Special Meeting, which will be held at the Morro Bay Community Center at 6:00p.m.  

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