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City Council OKs utility rate increase
By Sam Scott
Sunnyvale City Council on April 25, voted unanimously to increase municipal utility rates. The hike raises the average residential bill by 4.8 percent, from $53.62 to $56.20, said Karen Miller, revenue systems supervisor for the city.
Council members noted they saw the hike as needed, if unwanted.
"Nobody likes to vote for a [rate] increase," Councilwoman Julia Miller said. "But in this case, it is necessary."
Sewage usage rates will rise 7.2 percent, water rates will rise 3.5 percent and refuse collection will rise 3 percent, Karen Miller said.
She told the council that inflation and increased costs put upward pressure on prices.
Sewage rates have been affected by rising chemical costs, water rates by increasing prices charged by water districts, and refuse collection by the dramatic rise in fuel costs, Karen Miller said.
City spokesman Dan Rich said the $1.65 million the city will save next year as a result of finding a less expensive contractor to run its recycling station resulted in refuse collection rates increasing less than they would have. City reports show that without the new contract, refuse collection rates would have increased 4 percent rather than the 1 percent increase council imposed.
Karen Miller said even with the increased costs, Sunnyvale residents enjoy average utility bills among the lowest in the area. City reports show that among local cities, only Santa Clara charges less for utilities on average than Sunnyvale.
"[Sunnyvale's utility prices] are amongst the lowest in the area, even though we are comparing our proposed rates with their current rates," Karen Miller said.
Even when comparing Sunnyvale's new rates with the other cities' old rates, Sunnyvale residents save an average of more than $330 by comparison. She said when other cities adjusted their prices to reflect increased costs, the difference between Sunnyvale and its neighbors will be even more pronounced.
"It's safe to assume these savings are understated," she said.
During discussion prior to the 7-0 vote, Councilman Tim Risch touched on the likelihood of dramatic increases in water costs in the future. He said large infrastructure projects required by the San Francisco Water District stand to increase the cost the city pays for water.
Public Works Director Marvin Rose said since the details of how the improvements would be paid for remain unclear, it was impossible to predict exactly how they would affect the city.
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Sunnyvale, California Since 1994
