Beaver City staff to notice public hearing on new water and sewer rate scenarios including a 7% proposal
January 27, 2026 | Beaver City, Beaver County, Utah
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Beaver City Council on Monday directed staff to prepare public‑hearing materials on new culinary water and sewer rate options after reviewing a rate study by Utility Financial Solutions.
A staff presenter summarized several five‑year scenarios that consultant Chris Lund outlined, including a steady 6.5% annual increase, front‑loaded options with larger early hikes and smaller later increases, and a blended approach the city had requested. Staff warned that if rates are not adjusted the culinary water fund could be depleted by 2030 and said revenue increases are needed to maintain cash balances and cover operating costs.
Council discussed the tradeoffs between smaller steady increases and larger front‑loaded hikes. Several members said modest annual increases ($2–$3 per typical meter at 6.5%) would be easier for residents to absorb than sporadic large jumps; others said a moderate front‑load would restore reserves sooner. On the sewer side, staff emphasized the need to preserve debt‑coverage ratios tied to a major sewer capital project estimated at about $8.5 million and roughly $3.3 million of bonds the city must service.
Following discussion, the council asked staff to prepare a 7% across‑the‑board culinary water scenario and additional sewer scenarios (examples discussed included 20/20/15/10/10 and 17%‑frontloaded profiles) and to notice a public hearing for the next council meeting so the council can consider formal adoption after public comment.
"If we don't do anything, by 2030 we'll be in the hole," a staff presenter said while reviewing the culinary fund forecasts. Council members stressed the importance of balancing affordability for ratepayers with the need to maintain reserves and ensure the city can service debt on the sewer project.
Next steps: staff will run the requested 7% and alternate scenarios, post a public‑hearing notice, and bring a recommended ordinance or resolution for consideration at the next regular meeting.
A staff presenter summarized several five‑year scenarios that consultant Chris Lund outlined, including a steady 6.5% annual increase, front‑loaded options with larger early hikes and smaller later increases, and a blended approach the city had requested. Staff warned that if rates are not adjusted the culinary water fund could be depleted by 2030 and said revenue increases are needed to maintain cash balances and cover operating costs.
Council discussed the tradeoffs between smaller steady increases and larger front‑loaded hikes. Several members said modest annual increases ($2–$3 per typical meter at 6.5%) would be easier for residents to absorb than sporadic large jumps; others said a moderate front‑load would restore reserves sooner. On the sewer side, staff emphasized the need to preserve debt‑coverage ratios tied to a major sewer capital project estimated at about $8.5 million and roughly $3.3 million of bonds the city must service.
Following discussion, the council asked staff to prepare a 7% across‑the‑board culinary water scenario and additional sewer scenarios (examples discussed included 20/20/15/10/10 and 17%‑frontloaded profiles) and to notice a public hearing for the next council meeting so the council can consider formal adoption after public comment.
"If we don't do anything, by 2030 we'll be in the hole," a staff presenter said while reviewing the culinary fund forecasts. Council members stressed the importance of balancing affordability for ratepayers with the need to maintain reserves and ensure the city can service debt on the sewer project.
Next steps: staff will run the requested 7% and alternate scenarios, post a public‑hearing notice, and bring a recommended ordinance or resolution for consideration at the next regular meeting.
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