HomeMy WebLinkAboutCC Res 7669 2025-08-11 RESOLUTION 7669
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
ESTABLISHING RATES FOR THE CITY'S WATER SERVICE
CHARGES EFFECTIVE ON AUGUST 1, 2025, JULY 1, 2026,
JULY 1, 2027, JULY 1, 2028, AND JULY 1, 2029
WHEREAS, the City of Seal Beach maintains a municipal Water Utility that
provides water services to residents and businesses; and,
WHEREAS, on February 22, 2021, City Council adopted Resolution 7114 to adjust
water rates; and,
WHEREAS, the City's Water Utility operational and capital improvement costs
have increased substantially since the last rate adjustment, and are estimated to
continue increasing significantly; and,
WHEREAS, the City's currently established water rates are not adequate to meet
increasing operations and maintenance and capital improvements costs without
compromise to system operations; and,
WHEREAS, on June 12, 2023, the City retained Raftelis Financial Consultants,
Inc. to conduct a Water and Wastewater Financial Plan and Rate Study to analyze
the cost of providing water and sewer services, and recommend appropriate water
and sewer rate adjustments (2025 Financial Plan); and,
WHEREAS, on May 12, 2025, an overview of the draft 2025 Financial Plan,
including recommendations for proposed water rate adjustments was presented
to the City Council; and,
WHEREAS, in order to adjust the water rates, the City must comply with Article
XIIID of the California Constitution, more commonly known as Proposition 218;
and,
WHEREAS, on May 12, 2025, City Council adopted Resolution 7644 setting a
public hearing on the proposed water and sewer rate adjustments on July 14, 2025
(Public Hearing), and directing staff to initiate the Proposition 218 majority protest
process for the proposed water and sewer rate adjustments; and,
WHEREAS, the City provided mailed notice of the Public Hearing in accordance
with the requirements of Proposition 218 and held the Public Hearing on July 14,
2025; and,
WHEREAS, at the Public Hearing, the City Council considered the 2025 Financial
Plan and heard and considered all oral testimony and written protests and
materials submitted regarding the proposed water rate adjustments; and,
WHEREAS, following the conclusion of the Public Hearing, in conformity with
Proposition 218, the City Council determined that no majority protest against the
proposed water rates exist (i.e., written protests against the proposed water rates
submitted and not withdrawn do not represent a majority of the parcels (50% +1)
that receive water service).
NOW, THEREFORE, the Seal Beach City Council does resolve, declare,
determine and order as follows:
Section 1. The City Council finds the Recitals set forth in this Resolution are true
and correct and are incorporated herein by reference.
Section 2. The City Council hereby repeals Resolution 7114 and adopts the
following water rates, subject to potential pass-through of increases
in wholesale water purchase costs:
Proposed Water Fixed Charges (S/bi-monthly)
Customer Type&
Tier Current ' 8/1/2025 7/1;'2026 7/1/2027 7/1/2028 7/1/2029
I I '
5/8" $52.38 $70.68 $86.94 $91.29 $95.85 $100.64
3/4" - $52.38 - $70.68 $86.94 $91.29 $95.85 $100.64
1' $77.92 $104.87 $128.99 $135.44 $142.21 $149.32
1.5' $150.93 $202.85 $249.51 $261.99 $275.09 $288.84
2' $228.33 $306.50 $377.00 $395.85 $415.64 $436.42
3' $406.25 $544.72 $670.00 $703.50 $738.68 ' $775.61
4' $675.94 $906.18 $1,114.60 $1.170.33 $1.228.84 $1,290.28
6' $1,331.01 $1,783.70 $2,193.95 $2,303.64 $2,418.82 $2,539.77
8' $2,128.92 $2,852.83 $3,508.98 - $3,684.43 $3,868.65 $4,062.08
10' $3,047.29 $4,083.10 $5,022.21 $5,273.32 $5.536.99 $5.813.84
12'Leisure World $1,331.01 $7,458.19 $9,173.58 $9,632.26 $10,113.87 $10.619.56
2'Aquatic Park $344.58 $476.01 $585.49 $614.76 $645.50 $677.78
Private Ere Charges
4' $54.42 $75.10 $92.37 $96.99 $101.84 $106.93
6' $158.07 $218.14 $268.31 $281.72 $295.81 $310.60
8' $336.86 $464.87 $571.79 $600.38 $630.39 $661.91
10' $605.79 $835.99 $1,028.27 $1,079.68 $1,133.67 . $1,190.35
12' NA $1,350.35 $1,660.94 $1,743.98 $1.831.18 $1,922.74
Proposed Water Volumetric Charges ($/hcf)
VOLUMETRIC RATES(S/HCF) Current 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029
Rates are shown bi-monthly
Single-Family Residential
Tier 1 $3.77 $5.20 $6.40 $6.72 $7.06 $7.41
Tier 2 $3.99 $5.51 $6.77 $7.11 S7.47 S7.84
'Multi-Family Residential/ Leisure World
Tier 1 S3.77 $520 $6.40 $6.72 $7.06 S7.41
Tier2 S3.94 $5.44 $6.69 $7.02 $7.37 $7.74
Noa}Raidealial
Commercial $3.77 $520 $6.40 $6.72 $7.06 $7.41
Irrigation $3.86 $5.33 $6.55 $6.88 $7.22 $7.58
$3.82 $527 $6.48 $6.81 $7.15 $7.51
Aquatic Park $427 $5.89 $7.25 $7.61 $7.99 $8.39
* Multi-Family and Leisure World tier allocations are determined by multiplying the hcf by
the number of dwelling units for a given account.
Section 3. The City purchases water from the Orange County Water District and
Municipal Water District of Orange County and has no control over
the charges from these wholesale agencies. As part of the 2025
Financial Plan, the City estimated future wholesale costs. However,
if wholesale costs are higher than predicted, the City may pass
through to customers the increase in wholesale water purchase
costs. The pass-through will be calculated based on the increase in
wholesale water purchase costs compared to projected wholesale
costs included in the 2025 Financial Plan, divided by customer
annual volumetric water use. Notice of any adjustment to pass-
through costs will be provided 30 days or more before the effective
date of the adjustment.
Section 4. If any provision of this Resolution or its application is deemed invalid
by a court of competent jurisdiction, the City Council intends that
such invalidity will not affect the effectiveness of the remaining
provisions or their application and, to this end, the provisions of this
Resolution are severable.
PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a
regular meeting held on the 11th day of August 2025 by the following vote:
AYES: Council Members Kalmick, Wong, Steele
NOES: Council Members Senecal, Landau
ABSENT: Council Members
ABSTAIN: Council Members
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Lisa Lan au, M or
ATTEST:
Gloria D. Harper, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution 7669 on file in the office of
the City Clerk, passed, approved, and adopted by the City Council at a regular
meeting held on the 11th day of August 2025.
dc
Gloria D. Harper, City Clerk