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HomeMy WebLinkAbout2025-04-22; City Council; Resolution 2025-087Docusign Envelope ID: 2EE35CDA-4EA8-4802-8290-D02A8FACC334 RESOLUTION NO. 2025-087 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THREE-YEAR RATES FOR WASTEWATER SERVICES Exhibit 1 WHEREAS, the California Constitution Article XIII D, Section 6, requires local agencies to hold a majority-protest public hearing and notify customers not less than 45 days in advance of the public hearing before increasing wastewater service rates; and WHEREAS, the city is proposing wastewater service rate increases effective July 1, 2025, Jan. 1, 2026, and Jan. 1, 2027, consistent with the 2025 Wastewater Cost-of-Service Study; and WHEREAS, based on the study, the proposed wastewater service rate increases are necessary to cover wastewater service operating costs, the revenues derived from the rate increases will not exceed the funds required to provide wastewater services, the revenues will be used exclusively for the operation and maintenance of the wastewater system, the proposed rates are equitable to all customer classes, the proposed rates will not exceed the proportional cost of service attributable to each property upon which they will be imposed, and the proposed rates will not be imposed on a property unless wastewater service is actually used by, or immediately available to, the property owner or customer occupying the property; and WHEREAS, by Feb. 25, 2025, the City of Carlsbad wastewater service area customers and property owners were notified by mail of the proposed three-year rates for wastewater services, thereby complying with the advance notice requirement of 45 days; and WHEREAS, on April 22, 2025, the City Council held a majority-protest public hearing and approved the new three-year rates for wastewater services; and WHEREAS, pursuant to Senate Bill 323, codified in Government Code Section 53759, any judicial action challenging fees for water or sewer service shall be commenced within 120 days of the date of a resolution approving the increased rates; and WHEREAS, pursuant to Assembly Bill 2257, codified in Government Code Sections 53759.1 and 53759.2, the city has opted into the exhaustion of administrate remedies procedures via City Council Resolution No. 2025-048 and any judicial action must be regarding a timely written objection submitted by April 14, 2025. April 22, 2025 Item #5 Page 13 of 518 Docusign Envelope ID: 2EE35CDA-4EA8-4802-8290-D02A8FACC334 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1. 2. That the above recitations are true and correct. That the proposed action to adopt three-year rates for wastewater, potable water, and recycled water services is exempt from environmental review under CEQA Guidelines Section 15273. CEQA does not apply to the establishment, modification, structuring, restructuring, or approval of rates, tolls, fares, and other charges by public agencies which the public agency finds are for (1) meeting operating expenses, including employee wage rates and fringe benefits, (2) purchasing or leasing supplies, equipment, or materials, (3) meeting financial reserve needs and requirements, (4) obtaining funds for capital projects, necessary to maintain service within existing service areas, or (5) obtaining funds necessary to maintain such intra-city transfers as are authorized by city charter. 3. That the written objections and the city's responses warrant no clarifications or changes to the proposed fee or assessment. 4. That the City Council approves the three-year rates for wastewater, effective July 1, 2025, Jan. 1, 2026, and Jan. 1, 2027. 5. Pursuant to Senate Bill 323, codified in Government Code Section 53759, any judicial action challenging these fees for wastewater service shall be commenced within 120 days of the date of this resolution. April 22, 2025 Item #5 Page 14 of 518 Docusign Envelope ID: 2EE35CDA-4EA8-4B02-8290-D02A8FACC334 PASSED, APPROVED AND ADOPTED at a Joint Special Meeting of the Board of Directors of the Carlsbad Municipal Water District of the City of Carlsbad, California, and the City Council of the City of Carlsbad, California, on the 22nd day of April, 2025, by the following vote, to wit: AYES: NAYS: ABSTAIN: ABSENT: April 22, 2025 Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. None. None. None. KEITH BLACKBURN, Mayor SHERRY FREISINGER, City Clerk (SEAL) Item #5 Page 15 of 518