Huntington Beach residents could see their water bill go up for the first time in five years after city council members will soon consider a water rate increase.
Surf City is just the latest city to see discussions on a rate hike, as water districts and city leaders across Orange County grapple with maintaining sewer and water line infrastructure that’s breaking down after decades of use without major overhauls.
And how to do it without breaking the bank for residents.
[Read: Some South OC Residents’ Water Rates Double]
In a public presentation to the city council at Tuesday’s meeting, staff highlighted over $144 million worth of proposed upgrades to the city’s water infrastructure – including repairing sewage lines and building three new water wells, pointing out that pieces of the city’s infrastructure are now over half a century old.
“This is a lot of infrastructure,” said Alvin Papa, the city’s deputy director of public works who manages the water system. “Everything’s coming to a head at the same time.”
Over the next six years, city staff are expecting to spend another $40 million on the city’s water infrastructure, with most of that money slated for clean water production and the construction of the new wells.
But with all that spending, the city’s water fund would be completely empty by June 2026, and nearly $20 million in debt by 2029 according to a city staff presentation.
To offset those costs, city staff are proposing an annual increase to residents and businesses’ water bills over the next five years, primarily focusing on raising the basic costs for procuring water and the fixed portion of the bill, which helps pay for infrastructure.
While the first year is only set to raise sewer and water rates by around $36 annually, there wasn’t a full review for the four years after that, with city staff noting a larger presentation would be released in the coming months.
However, staff noted that the current base purchasing price for water alone was set to increase by nearly 60% over the next five years.
Even with the increases, the city is set to take a $10 million bite out of its reserves to get started on construction over the next three years, but by 2029 are expecting the reserves to return to their normal level.
Without the money, staff warns it could lead to increased spills and a less reliable water system in the days ahead, something other cities like Laguna Beach have been struggling with for years regarding sewer leakages.
[Read: Laguna Beach Spills More Sewage Into Ocean Than Anywhere Else in OC]
While city council members had an opportunity to ask questions about the rate increases, most of the council didn’t speak, with Councilmembers Rhonda Bolton and Dan Kalmick asking several clarifying questions on the city’s reserves and the department’s plan for public outreach about the rate increase.
The new rates, if approved by the city council during a public hearing in April, would go into effect at the start of July.
Noah Biesiada is a Voice of OC reporter and corps member with Report for America, a GroundTruth initiative. Contact him at nbiesiada@voiceofoc.org or on Twitter @NBiesiada.
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