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Come the new year, single-family residential customers will owe about 13% more for water every other month and about 15% more for waste every month, while the biggest multi-family residential water customers will owe up to about 11% less every other month.
The Redwood City Council held two public hearings on Monday for proposed changes to water and waste service rates, which ultimately passed unanimously. Not enough folks protested the proposed rate updates to stop them, per AB 2257 and the Right to Vote on Taxes Act.
Single-family residential customers will owe about $10 more and multi-family residential customers will owe about $1,400 less for 10” meters of water every other month. Commercial water rates would start at about $5 more a month for 5/8″ meters, and run to about $700 less a month for 10” meters.
The water rate changes would be for the next three years, starting Jan. 1, 2026. The extra funds would help to cover rising costs of buying water, infrastructure maintenance and “long-term financial stability of the City’s water system,” according to the city’s staff report.
The rate adjustments would include transitioning single-family customers to a uniform water use rate, as multifamily residential and commercial customers already do. It would also update the Water Fund reserve policy to “better align” with construction cost trends, the report stated.
Vice Mayor Kaia Eakin, who made the motion to pass the water rate adjustments, noted that rates did not increase from 2020 to 2022 because of the pandemic, so these new proposed increases are “catch-up.” In 2023, Redwood City approved a 12% water rate hike despite 60 protesters.
The city last approved water rate increases in December 2023, which were suitable for two years. HF&H Consultants conducted a water rate study for the Council to determine the rates needed to ensure the necessary expenses are covered.
This time, only one written objection and six community members objected to the higher water rates. rTwo other written responses were submitted but were deemed invalid because they failed to meet the objection requirements.
Those who offered oral arguments at the hearing for water rates, including Mark Moulton, who said “it’s our perception that we’re chronically overestimating the water that we need” and that “when it’s not used, it costs us more.”
Redwood City’s potable and recycled water distribution system is part of the city’s Water Enterprise program, which is not supported by tax revenue or the city’s General Fund, but rather, water rates and fees charged to customers.
Solid waste rates were in question because the city has a program deficit, with spending expected to exceed revenues by $1.8 million in 2026, according to the city. To close that gap, the city has found that rates should increase by $6 per month for each cart size for the next two years. A quarter of a million in one-time funds will also be needed to reduce the rate increase for the year, the report suggests.
The changes to solid waste rates are intended to “bring Redwood City into alignment with surrounding jurisdictions,” according to the staff report. They would include the ability to waive waste services at an occupied location, for folks to transport their own waste, and for the waste management service, Recology, to assume solid waste billing responsibilities. The ordinance would also set Recology’s franchise fee amounts for the next two years.
The city received 16 letters protesting solid waste rate increases as of Nov. 6, according to its staff report. Only two members of the public addressed concerns of solid waste rate increases at the meeting, though, like Jeff Breslin, who said, “the people that use the least amount are getting a big chunk of the increase” every year. In representing single-family homes, he said he’d like to see his trash picked up every other week to mitigate costs.
Council member Jeff Gee nodded to that idea, agreeing that “level of service” could be “one of the greatest opportunities that we need to take a look at.”
Redwood City is one of 11 agencies that has an agreement with Recology to provide solid waste collection services; The city’s agreement started in 2011 and is slated to last until 2035.
Especially with the impending utility rate increases, customers who face financial hardships may be eligible for the city’s Utility Rate Assistance Program, which offers a monthly utility bill credit of $25 for water, $25 for sewer and up to $16 for solid waste.
Now that temperatures are dropping, the city, said council member Chris Sturken, is trying to achieve 100% enrollment in the URAP program and has roughly 50 open spots for families who meet the requirements. Applicants who own a home or pay utilities to a landlord and make less than 50% of the area median income in San Mateo County could be eligible for discounts. Applications can be completed online through this link.
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