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Sewer Rate Study Recommendations <br />September 17, 2019 <br />Rate Study Achievements <br />✓ Enhanced connection between sewer rates and the cost to provide <br />water service <br />Improves fairness and legal defensibility <br />✓ Increased revenue stability through fixed rates <br />Stabilizes revenue and makes rates "drought tolerant' <br />✓ Rate revenue increases will meet the needs of system deficiencies <br />Addresses deferred maintenance and allows the utility to implement efficient asset <br />management practices <br />15 <br />Next Steps <br />• Request City Council to direct Staff to send Proposition 218 <br />Notification <br />• 45-day waiting period <br />• Public Hearing on or after November 5, 2019 to adopt rates <br />• Rates are active on January 1, 2020 <br />16 <br />15 <br />16 <br />Stantec Consulting & Hildebrand ConsultiU5B-24 8 <br />