GILROY
– City Council approved a proposal to increase water rates by 15
percent. This is a direct consequence of Santa Clara Valley Water
District’s 25 percent increase.
GILROY – City Council approved a proposal to increase water rates by 15 percent. This is a direct consequence of Santa Clara Valley Water District’s 25 percent increase.
“We have to, unfortunately, pass on the Water District’s increase,” City Administrator Jay Baksa said.
The increase will raise water costs for an average residential customer less than $16 a year.
In order to lessen the impact of the increases on consumers, the changes will not take effect immediately. The new rates will apply for consumption starting in September and billing in October.
The Water District is in charge of all ground water in the county from farm wells to municipal wells.
Whenever the city taps into these sources, the district charges an extraction fee, previously called a pump tax. As their expenses have increased, they have had to adjust their fees accordingly.
“People can get through the summer and deal with the increases over the next few months,” Baksa said.
Although the issue was open for public comment at Monday night’s meeting, no one spoke.
Council discussed the proposal in earlier budget meetings and there were no objections to approving the proposal.
Council was able to buffer against the full 25 percent increase by using money from the water fund reserves.
