2019 Utility Rate Studies and Rate Increase Recommendations

Learn more about the City of Folsom’s water, wastewater, and solid waste utility rate studies and proposed rate increases

On September 10, 2019, the Folsom City Council directed staff to issue a mailer in compliance with Proposition 218 notifying residents about a proposed rate increase for all City-provided utilities, including water, wastewater, and solid waste in the calendar years 2020 through 2024.

Monthly water, wastewater, and solid waste rates paid by customers are the primary source of revenue for the City of Folsom’s Water, Wastewater, and Solid Waste Divisions. The City has not adjusted most solid waste rates since 2004, wastewater rates since 2008, and water rates since 2011.

The City Council’s direction to staff follows public meetings on August 27 and September 10, 2019 during which Council members considered results of a comprehensive utility rate study. The Rate Study, prepared by an independent third-party financial expert, provided a detailed review of the City’s utility costs and the rate structure needed to meet those costs to support the delivery of safe, high-quality, and reliable service. Council members also reviewed input received from the City of Folsom Utility Commission.

The Rate Study recommends that the City of Folsom increase utility rates in order to meet the ongoing operational and capital expenses of each utility.

The August and September meetings followed more than a dozen briefings with the City’s Utility Commission held over the past two years to consider cost drivers and revenue requirements for each utility, a cost-of-service analysis, and the current and proposed rate design for each utility. Links to information presented to the commission and the rate studies for each utility are available below.

The city hosted a public open house on Wednesday, November 6 and shared information about the rate study and proposed rate increases and answered customer questions. A video recording of the open house can be found  below.

 

Next Steps: Public Hearing on Proposed Rate Increase

Tuesday, December 10, 2019 at 6:30 p.m.
City of Folsom Council Chambers, 50 Natoma Street, Folsom, CA 95630


The City Council will hold a public hearing on December 10, 2019 to consider proposed increases to water, wastewater, and solid waste rates. All property owners and customers of record receiving City of Folsom water, wastewater, and solid waste service, and all other interested persons, may appear at the public hearing to make comments regarding the proposed increases.

In addition, property owners and customers of record receiving City of Folsom water, wastewater, and solid waste service may protest the proposed rate increase by submitting a written protest by mail or delivering in-person to the City Clerk’s Office at 50 Natoma Street, Folsom, CA 95630. 

To be deemed valid, protests must be in writing, signed, and contain the following information:

  1. A statement that the proposed rate that is the subject of the hearing is being protested
  2. Name of the property owner or customer of record who is submitting the protest.
  3. The assessor’s parcel number and/or street address of the parcel with respect to which the protest is made
  4. Original, wet signature and legibly printed name of the property owner or customer of record who is submitting the protest
  5. Date the protest was signed
  6. A statement by the named property owner or customer of record affirming the contents of the protest are true and correct

Written protests must be received by the City Clerk at 50 Natoma Street, Folsom, CA 95630 prior to the close of the public hearing on December 10, 2019 in order to be considered valid and to be counted in the protest tabulation. Emailed, faxed and photocopied protests will not be counted. 

If approved, the rate increases would become effective on February 1, 2020.

Additional Information

The City of Folsom will be mailing information about proposed rate increases for water, wastewater, and solid waste to each property owner or customer of record as required by Proposition 218, as well as posting the mailer here on this website. The mailer will include details about the amount of the proposed rate increase; the basis on which the rates are calculated; and the reason for the increase.

Additional information, including the Rate Study, and other supporting materials are available below:

September 10, 2019, City Council Rate Study Presentation Webcast
Water, Wastewater, and Solid Waste Rate Staff Report, August 27, 2019
August 27, 2019 Public Workshop Video 

Water and Wastewater:
Comprehensive Water and Sewer Rate Study Report
Water and Wastewater Presentation, September 10, 2019 Council Meeting
Water and Wastewater Rate Study Presentation

Solid Waste:
Solid Waste Rate Study Report
Solid Waste Rate Study Report Recommended Scenario
Solid Waste Presentation, September 10, 2019 Council Meeting
Solid Waste Rate Study Presentation
Solid Waste Rate Study Recommended Scenario



Questions?

Contact – Water and Wastewater
Marcus Yasutake, Environmental and Water Resources Director
myasutake@folsom.ca.us
916-461-6161

Contact - Solid Waste
Dave Nugen, Public Works Director
dnugen@folsom.ca.us
916-461-6708