White Settlement Development News

White Settlement Reviews Water and Wastewater Rate Study, Proposes Scenarios for Future Adjustments

The City of White Settlement conducted a water and wastewater rate study over six months, with assistance from NuGen Strategies. The study found that historical and projected cost increases necessitate rate adjustments over the next five years, with expenses projected to be 34.6% higher by 2031. The primary drivers for these increases are planned capital investments totaling $41.8 million over the next five years, including LCR compliance updates and I&I reduction for wastewater. Current rates were last increased in October 2023. The study explored four scenarios: a baseline scenario with an 8% annual increase, and three alternative scenarios that involve charging for water and sewer volumes currently included in the base charge, with varying reductions in included gallons. Scenario one involves charging for volumes over 2,000 gallons for commercial customers, requiring a 6.75% annual increase. Scenario two charges for volumes over 1,000 gallons for both residential and commercial customers, requiring a 4% annual increase. Scenario three charges for all volumetric usage with no gallon inclusion in the base rate, requiring a 2.25% annual increase. The study also noted that current rate structures provide a discount to commercial customers by including more water in their base charge than residential customers. The council will review these scenarios for potential future action, with implementation estimated for January 1, 2027. Staff is also exploring grant opportunities to potentially reduce the need for rate increases.