San Diego city residents saw their water bills jump 11 percent this month. Now Mayor Jerry Sanders says a second round of increases is needed to cover hikes in the cost of wholesale water.
Under Sanders' plan, a typical family will pay a $1.40 more on their water bills starting in January. But sewer bills are coming down. Because of a lawsuit settlement earlier this year, the city will credit sewer bills $3.25.
Jerry Sanders , San Diego Mayor: This proposal is not based on our own infrastructure requirements. The proposal is revenue neutral for both the water and sewer systems. A court settlement involving our sewer system and an increase in the cost of water are the reasons for those adjustments.
Ratepayers have consumer advocate Michael Shames to thank for the decrease in their sewer charges. Water and sewer charges are part of one monthly bill. Shames sued the city alleging it was overcharging residents to subsidize big businesses. He says the city doesn't have to impose another water bill increase.
Shames : The city has options. It has options as to when they can pass on rate increases and whether and how much of that rate increase they have to pass through.
Mayor Sanders disputes that contention.
Sanders : We don't have a lot of flexibility on that. There are some very stringent rules on how you allocate water rates and to who and that's the reason we had a rate case expert come in and do that and that's the reason we had a Prop. 218 noticing last time, and that's the reason I went out to community forums all over this city to talk about that. I suppose you could say there's a flexibility but we think we're very solid on that.
The city council will consider the water rate hike in October.