The Woodland City Council voted unanimously Monday, Nov. 3, to approve the first reading of an ordinance raising water, sewer and stormwater utility rates beginning in 2025.
The rate plan spreads the rate increase over the next three years while aiming to keep average household bills below the levels initially proposed.
The adopted plan increases water rates by 13.6% in 2025 and 2026, followed by a 5.5% adjustment in 2027. Sewer rates will rise 3.6% in 2025, then 2.6% in 2026 and 2027. Stormwater rates will go up to 3.9% through 2027.
Mayor Todd Dinehart said the change is meant to secure steady funding for future infrastructure projects without creating an outsized burden on residents.
“We’re not looking at making millions and millions of dollars here,” Dinehart said. “We’re building up that reserve.”
The decision followed months of discussion about how to update the city’s rates, which had not been adjusted since November 2022. Public Works Director Riley Bunnell said several factors delayed rate increases, including changes to the city’s billing system, impacts from COVID-19 and the transfer of utility billing services to Minol.
“Failure to adjust rates,” Bunnell explained in an email, “would result in deferred utility infrastructure projects and repairs, reduced staffing levels, increased debt for capital projects, and a diminished ability to pursue grant funding.”
The alternative options considered were steeper. One proposal would have raised all three utilities — water, sewer and stormwater — to 2025 levels as outlined in the city’s rate study, which would have meant a nearly 27% water rate increase in a single year.
Council members agreed the approach is more gradual than the 27% increase first considered earlier this fall.
“I’m thankful that you did listen to the feedback after our last meeting and not go straight to the 27% increase because that would have been a hard pill to swallow,” Councilor Melissa Doughty said.
Dinehart added that the increases will help the city avoid taking on major debt for upcoming utility projects, including future water filtration upgrades.
“In 15 years from now, I probably won’t be sitting here,” he said. “Filter 2 and 3 will need to be redone … Hopefully, we have reserves instead of taking the loans out.”
Bunnell noted that housing developments in Woodland are helping offset costs for homeowners during the Monday meeting.
“I know a lot of people don’t agree or like the new developments,” Bunnell said, “but that is a large reason why we’re able to reduce the rate increases.”
He explained the average residential utility customer using roughly 3,800 gallons of water per month would see a monthly bill increase of about $9.68 between 2025 and 2026.
“Percentages can be scary, but that’s an actual dollar amount per month,” he said.
Council members also pointed out that the city’s overall utility rates remain moderate compared to surrounding communities, even after the increases.
If approved during a second reading scheduled for Monday, Nov. 17, the new rates will take effect Jan. 1, 2025.
During the same meeting, the council voted unanimously with Dinehart’s recommendation to not increase property taxes by 1%, allowed by state law.
