City of Davis, CA
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Phone:
530-757-5686
Email:
pwweb@cityofdavis.org
Address:
1717 Fifth Street Davis, CA 95616
Hours:
Monday – Friday
7:00 a.m. to 3:30 p.m.
(Closed Holidays)
Access to the Corporation Yard is by phone call or appointment only.
Wastewater Rate Studies
Sewer, Sanitary Sewer or Wastewater?
On the City’s utility bill, wastewater charges are labeled as “sanitary sewer.” Municipalities will often interchangeably call the service "sewer," "sanitary sewer" or a newer term, "wastewater." Changes in the wastewater industry in recent years have expanded the services provided by wastewater utilities, to include recycled water and other services, making the "sewer" terminology somewhat outdated. The City of Davis uses "wastewater" to refer to the programs and services of this utility.
In 2020, the City of Davis contracted with the consulting firm Bartle Wells Associates to prepare a comprehensive wastewater (also called sanitary sewer) rate study, to evaluate the utility's financial plan and ensure adequate revenue to support the utility's operations, capital programs and debt service. The wastewater utility is supported by an enterprise fund, meaning revenues are derived primarily from service charges.
The study determined that revenue from current wastewater charges will not be sufficient to meet future expenses. After a number of meetings with the City's Utilities Commission, staff proposed revisions to the City's wastewater rates and structure that were presented to City Council on August 29, 2023. The proposed wastewater rates were calculated to:
- Fund current and projected increases in the costs of operations and maintenance of sanitary wastewater infrastructure
- Fund utility repair, replacement and capital improvement costs
- Distribute costs equitably between customer classes while minimizing the impact on ratepayers
- Further refine the treatment costs to include the cost of treating ammonia
In addition, the following were also proposed rate changes:
- Adjusting fixed to volumetric ratio of charges for residential customer classes
- Larger “dormitory-style housing” specific rates
- Consolidation of customer classes for multi-family and commercial customers respectively
More information on these proposed adjustments can be found in the City Council staff report (linked here) from August 29, 2023, and the Wastewater Rate Study (linked here).
City Council approved the mailing of Proposition 218 notices for the proposed rate adjustments at their August 29, 2023 meeting. On December 1, 2023, the Proposition 218 Notice of Public Hearing was mailed to all wastewater utility customers. A Public Hearing was held at the City Council meeting on January 16, 2024. The City Clerk did not receive the required number of protests against the rate increases, so City Council voted to implement the wastewater rate changes. The rate changes first appeared on the June 2024 customer utility bills.