Steep Increases in Sewer Rates Proposed

By SHELBY GRAD

April 29, 1997 12 AM PT

TIMES STAFF WRITER

SANTA ANA —

More than 1.5 million residents and businesses would see their sewer service rates as much as double over the next eight years under a proposal now being considered by the Sanitation Districts of Orange County.

The rate hikes--the first the agency has proposed in seven years--would add anywhere from $15 to $131 to property owners’ yearly sewer bills, depending on where in the county they reside.

In portions of Santa Ana, Anaheim and Costa Mesa, the annual sewer bill would jump from $83.24 this year to $215 in 2005. Property owners in parts of Tustin, Irvine, Orange and surrounding communities would see their bills rise from $50.09 to $103 by 2005.

Officials said Monday that the steep increases are needed to fund critical improvements to waste-water treatment facilities, meet strict environmental rules and make up for declines in property tax revenues.

“Without this increase, the public health won’t be protected, environmental protection won’t occur and our state and federal mandates won’t be met,” said John J. Collins, joint chairman of the sanitation districts’ board of directors and a Fountain Valley councilman.

“Sooner or later, we are not going to be able to do our job without this,” Collins added. “It’s as simple as that.”

The fee increases are part of a long-range plan being developed by the agency, which treats 240 million gallons of sewage a year before dumping most of the treated effluent five miles offshore in the Pacific Ocean.

The agency projects that it will need the ability to treat 300 million gallons of sewage by 2005, and this will require construction of either a new water reclamation plant or an outflow system that would run from treatment plants to the ocean discharge point. Either project would cost about $200 million.

The agency handles sewage for the 2.2 million residents who live north of the El Toro Y. By 2005, the population in its service area is expected to rise to 2.5 million. At the same time, the cost of chemicals and other materials used in the treatment process is expected to rise, spokeswoman Michelle Tuchman said.

“We need to plan for the future, both in terms of residential and business growth,” Tuchman said. “These fees are needed to stay ahead of the curve and continue providing our customers with a high level of service.”

The agency sets sewerage service charges in eight districts, each of which charges property owners a different rate based on a variety of factors including elevation, age of the sewer infrastructure and the amount of property tax collected.

Property owners in District 1, which covers most of Santa Ana and portions of Orange, Costa Mesa and Anaheim, would see their annual rate jump by $131. Parts of Newport Beach and Costa Mesa would experience annual rate increases of $19, while Huntington Beach residents would see a $95 jump.

The agency’s two smallest districts--one in North County, the other in Newport Beach--wouldn’t see any fee hikes under the plan, because existing revenues will cover any capital improvements required over the next few years, according to a report.

Santa Ana Councilwoman Patricia McGuigan said she supports upgrading the sewerage system even though most residents in her city would face higher rates.

“No local leader likes to raise taxes. But when it’s something as critical as this, I think we need to bite the bullet,” McGuigan said. “I would have a harder time explaining to my constituents why we didn’t invest and maintain this system if something goes wrong.”

McGuigan noted that Santa Ana’s growing population is straining the city’s aging sewerage system. “Homes that were originally built for a family of four now house a greater number of people,” she said. “That places greater stresses on the system.”

Agency officials said the proposed rates are so steep because the districts purposely kept rates flat during the recession of the early 1990s.

“We were in an economic downturn back then, and we tried to be sensitive to that,” Collins said. “But it makes the increase now seem a little higher.”

Various sanitation board subcommittees have been reviewing the new rate proposals over the last few months. The full board is expected to vote on the plan May 28.

In the meantime, the agency has created a committee made up of business representatives, homeowner association members, environmentalists and others to review the proposed fee structure.

“We want to hear what the public has to say about this before we make a decision,” Collins said.

The higher Orange County charges would increase revenue from $60.6 million this year to $91 million in 2005.

The money would be used for a variety of projects, including sewer repairs, new pumps and other infrastructure upgrades.

(BEGIN TEXT OF INFOBOX / INFOGRAPHIC)

Rate Hikes

The Sanitation Districts of Orange County set sewer rates in eight separate districts that cover much of the county. Under a new proposal, rates in six of these districts would increase during the next decade. How rates would change:

District Number: 1

Cities Covered*: Santa Ana, Costa Mesa, Orange, Anaheim

1996-97: $83.24

1999-00: $160

2002-04: $200

2005-06: $215

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District Number: 2

Cities Covered*: Anaheim, Brea, Fullerton, Fountain Valley, La Habra, Orange, Placentia, Yorba Linda, Villa Park, Santa Ana, Garden Grove

1996-97: 71.52

1999-00: 77

2002-04: 84

2005-06: 90

*****

District Number: 3

Cities Covered*: Brea, La Habra, Fullerton, Huntington Beach, Buena Park, La Palma, Cypress, Stanton, Anaheim, Los Alamitos, Fountain Valley, Westminster

1996-97: 73.89

1999-00: 77

2002-04: 82

2005-06: 88

*****

District Number: 6

Cities Covered*: Newport Beach, Costa Mesa

1996-97: 76.47

1999-00: 82

2002-04: 88

2005-06: 103

*****