Gunnison council adopts new residential water tiers, effective in June

Gunnison City Council voted on March 19 to adopt a new residential water fee schedule intended to discourage heavy culinary-water use and create clearer billing procedures. The resolution, passed 2–1, institutes a residential tier with a 20,000-gallon monthly threshold and adds a three-business-day grace period for late fees. Mayor Mike Warner and Councilman Donald Childs voted in favor; Councilwoman Stella Hill voted no.

The change mirrors the city's existing tiered structure for commercial accounts but sets a lower residential cap so that 95% of households — which typically use less than 20,000 gallons monthly — see little or no difference. Under the new schedule, typical residential usage will remain similar, while very large users will pay higher incremental rates above 20,000 gallons, staff said.

Dennis, the city staff member who presented the ordinance and fee schedule, told the council the proposal aims to produce a clearer billing process and to provide a financial disincentive for high indoor culinary use during dry years. He described examples from actual accounts where summer usage pushed totals well above the threshold, and said the new rates would raise an illustrative high-usage account from roughly $150 to $240 in a heavy month.

Public works staff and council members discussed implementation timing and public outreach. Councilmember Kim Pickett pushed for implementation in May so customers would see the change reflected in the June bill; the majority instead voted to start the new rates in June so customers receive notice in advance and see the higher charges beginning with the June billing period. As Dennis explained, water used in May would be billed under the new structure on June statements.

Council members and staff agreed to a public notification campaign, including a newsletter and bill inserts, so customers can compare usage and understand whether the new tier affects them. Mandy, who works with the billing system, said the city can add delinquency messages directly to bills and use the billing system to produce clearer usage examples.

The measure is an administrative rates change rather than an immediate tax increase; the council tabled a separate ordinance to clean up language in the municipal code and approved the fee schedule resolution at the same meeting.

Officials said the policy change is part of a broader drought-response effort that also includes metering, quadrant irrigation schedules, and educational outreach. The council asked staff to provide usage comparisons after the first summer under the new tier so leaders can review any unintended consequences.

The council will publish implementation details and examples in the city newsletter and on utility bills before the new tier takes effect in June.