The City of Eureka (City) last performed a rate study for the water and sewer utilities in 2016 and implemented yearly rate increases for the five years, ending in 2021. Industry standards dictate that utility rates be review at least every five years to ensure that utility rates accurately reflect the cost of running these funds in a self-sufficient manner. The City retained NBS in 2022 to perform a rate study for both utilities, evaluate alternative rate structures, review how costs are allocated to customer classes, and address rate-related issues such as reduced water sales and changes in costs. Water and sewer connection fees were included in this study. This study has resulted in proposed rate increases largely due to the need to meet new regulatory requirement imposed by the state on the Elk River Regional Sewer Treatment Facility and requirements resulting from recent litigation.
The City Council will hold a Public Hearing on December 19, 2022 in the Council Chambers at Eureka City Hall regarding adoption of the proposed rates.
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