Potential Utility Price Increase Coming For Pasco?

2025 may be the year of rate increases around the Tri-Cities.  Kennewick announced roughly 5 and 3 percent increases to their water and sewer charges for residents.  The State Utilities and Transportation Commission just held a public hearing last week on Cascade Natural Gas' proposed rate increase for their customers.  You know there things come in threes ...

...and it t looks as though the City of Pasco is in the on deck circle.  The city will be holding a Community Listening Session on Monday, January 13th at 6pm in the City Council chambers at Pasco City Hall regarding an increase to irrigation fees.  The meeting will give residents a forum to give feedback on hoe the potential increase will impact them.  Last month, the city held an online meeting with developers and stakeholders regarding the proposed rate changes.

How Much of an Increase are They Talking?

The 9,000 irrigation customers in the city limits are looking at a potential 17% increase in 2025, 2026, and 2027 with a 3% increase for 2028, 2029, and 2030.  Currently, residents pay just over $221 annually.  That will go up to over $251 this year, over $303 next year, and over $354 per customer in 2027.

If the proposed increases are approved by City Council, they will go in to effect in March.  They are also proposing a new connection fee of $1,468 dollars for each new user that taps in to the system.  That fee will go to fund system expansion projects.  The city claims without that fee, rates on existing customers would need go even higher.

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Why Are Rates Going Up?

Like everywhere and everything else, the cost of doing business isn't going down.  According to data released by Pasco, the cost of maintaining and operating the system alone is expecting to rise nearly $60 million by 2030.  They pay about $700,000 a year in debt service on the system with a $238,000 increase hitting the city next year.

Toss in close to $14 million in coming capital costs as well as needing something for emergencies in reserve, and you get the reasons behind the talk of rate hikes.  if the increases weren't approved by council, the city could have to borrow millions more to complete the needed projects.  That could manifest in other increases down the line.  That doesn't mean all residents will be thrilled, which is why the listening session is planned.

Council was given a heads up on this back in October.  If you didn't make it to that meeting you can watch it here.  If you can't attend the listening session on the 13th in person, that's ok.  You can take part remotely via Microsoft Teams using this link, and if you can't wait that long to share your thought with the city...you can provide a comment to the Public Works folks here.

If you live in Pasco voice your opinion about the proposed changes.  It is your elected government and your services.  Whether pro or con, let your council members know how you feel on the issue.