Proposed Wastewater Rate Increases (FY 2027–2031)

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Important Update on Proposed Wastewater Rate Increases (FY 2027–2031)

Why Wastewater Services Matter

The City of Coronado provides a vital public service by collecting, transporting, and treating wastewater for homes, businesses, and Navy facilities within our community.

We operate and maintain 17 sewer pump stations and over 45 miles of underground sewer pipes. On average, about 2.35 million gallons of sewage flow daily through our system to the regional wastewater treatment plant managed by the San Diego Metropolitan Wastewater Joint Powers Authority (Metro JPA).

To cover the costs of this service fairly, the city charges fees based on the actual cost to serve each customer. These fees are governed by state law (specifically Proposition 218), which ensures rates are proportional, transparent, and legally compliant.

Wastewater Rate Update Overview

To keep our wastewater system safe, reliable, and compliant with regulations, the city is proposing a wastewater rate increase starting July 1, 2026, with additional annual increases through July 1, 2030.

Reasons for the Rate Adjustment

Operating and maintaining the city’s wastewater system involves significant costs. The city manages pump stations, maintains sewer pipelines, and pays for regional wastewater treatment services. These costs naturally increase over time due to ongoing maintenance, system upgrades, and inflation.

A recent professional study conducted by an independent rate consultant evaluated the city’s current wastewater rates in comparison to the actual costs of providing service. The analysis found that existing rates do not fully cover the city’s operational, capital improvement, and reserve needs. The proposed rate adjustments are designed to ensure that wastewater service remains financially sustainable, legally compliant under Proposition 218, and capable of supporting the city’s ongoing maintenance, infrastructure improvements, and reliable service to all residents and businesses.

How Much Will Rates Increase?

  • Starting July 1, 2026, wastewater rates are proposed to generate an overall 8.5% increase in revenue. Individual rates will vary based on a cost-of-service analysis to ensure fairness across customer class. Rates will then increase every year by 8.5% for each customer class on July 1 through 2031.
  • The exact amount depends on your property type (single-family home, apartment, business, etc.).

(See full rate table below for details)

How Are Rates Determined?

California law (Proposition 218) requires wastewater rates to be fair and based on the actual cost to serve each customer. The city cannot charge more than it costs to provide wastewater service.

The city worked with a professional rate consultant to calculate rates that fully cover the cost of providing wastewater service. This includes:

  • Operating and maintaining the system: running 17 sewer pump stations, maintaining over 45 miles of underground pipes, and transporting approximately 2.35 million gallons of sewage per day to the regional treatment facility.
  • Capital improvements and upgrades: replacing aging pipelines, modernizing pump stations, and funding other long-term infrastructure projects to ensure the system remains safe, reliable, and capable of meeting the community’s needs.
  • Financial reserves: maintaining funds to cover Metro JPA wastewater treatment costs, unexpected repairs or emergencies, and to ensure the system’s long-term sustainability.

How the Proposed Rates Compare to Other Cities

What’s Next?

  • You should have already received a formal notice in the mail about this hearing, including instructions on how to submit a written protest if you disagree with the proposed rate increase.
  • The City Council will hold a Public Hearing on May 5, 2026, to discuss and consider approving these new rates.
  • If a majority (50% + 1) of property owners submit protests, the city cannot approve the rate increase.
  • If approved, the new rates will take effect on July 1, 2026.


What If I Have Questions or Concerns?

The city is committed to providing clear information and maintaining reliable, high-quality service.

If you have any questions, you can:

  • Contact Public Services and Engineering at 619-522-7380
  • Review the full FY 2027 Wastewater Rate Study here
  • Review Staff Report here
  • View the Video Link here (starting at 59:27)
  • Review the Public Hearing Legal Notice – Prop. 218 here


Important Update on Proposed Wastewater Rate Increases (FY 2027–2031)

Why Wastewater Services Matter

The City of Coronado provides a vital public service by collecting, transporting, and treating wastewater for homes, businesses, and Navy facilities within our community.

We operate and maintain 17 sewer pump stations and over 45 miles of underground sewer pipes. On average, about 2.35 million gallons of sewage flow daily through our system to the regional wastewater treatment plant managed by the San Diego Metropolitan Wastewater Joint Powers Authority (Metro JPA).

To cover the costs of this service fairly, the city charges fees based on the actual cost to serve each customer. These fees are governed by state law (specifically Proposition 218), which ensures rates are proportional, transparent, and legally compliant.

Wastewater Rate Update Overview

To keep our wastewater system safe, reliable, and compliant with regulations, the city is proposing a wastewater rate increase starting July 1, 2026, with additional annual increases through July 1, 2030.

Reasons for the Rate Adjustment

Operating and maintaining the city’s wastewater system involves significant costs. The city manages pump stations, maintains sewer pipelines, and pays for regional wastewater treatment services. These costs naturally increase over time due to ongoing maintenance, system upgrades, and inflation.

A recent professional study conducted by an independent rate consultant evaluated the city’s current wastewater rates in comparison to the actual costs of providing service. The analysis found that existing rates do not fully cover the city’s operational, capital improvement, and reserve needs. The proposed rate adjustments are designed to ensure that wastewater service remains financially sustainable, legally compliant under Proposition 218, and capable of supporting the city’s ongoing maintenance, infrastructure improvements, and reliable service to all residents and businesses.

How Much Will Rates Increase?

  • Starting July 1, 2026, wastewater rates are proposed to generate an overall 8.5% increase in revenue. Individual rates will vary based on a cost-of-service analysis to ensure fairness across customer class. Rates will then increase every year by 8.5% for each customer class on July 1 through 2031.
  • The exact amount depends on your property type (single-family home, apartment, business, etc.).

(See full rate table below for details)

How Are Rates Determined?

California law (Proposition 218) requires wastewater rates to be fair and based on the actual cost to serve each customer. The city cannot charge more than it costs to provide wastewater service.

The city worked with a professional rate consultant to calculate rates that fully cover the cost of providing wastewater service. This includes:

  • Operating and maintaining the system: running 17 sewer pump stations, maintaining over 45 miles of underground pipes, and transporting approximately 2.35 million gallons of sewage per day to the regional treatment facility.
  • Capital improvements and upgrades: replacing aging pipelines, modernizing pump stations, and funding other long-term infrastructure projects to ensure the system remains safe, reliable, and capable of meeting the community’s needs.
  • Financial reserves: maintaining funds to cover Metro JPA wastewater treatment costs, unexpected repairs or emergencies, and to ensure the system’s long-term sustainability.

How the Proposed Rates Compare to Other Cities

What’s Next?

  • You should have already received a formal notice in the mail about this hearing, including instructions on how to submit a written protest if you disagree with the proposed rate increase.
  • The City Council will hold a Public Hearing on May 5, 2026, to discuss and consider approving these new rates.
  • If a majority (50% + 1) of property owners submit protests, the city cannot approve the rate increase.
  • If approved, the new rates will take effect on July 1, 2026.


What If I Have Questions or Concerns?

The city is committed to providing clear information and maintaining reliable, high-quality service.

If you have any questions, you can:

  • Contact Public Services and Engineering at 619-522-7380
  • Review the full FY 2027 Wastewater Rate Study here
  • Review Staff Report here
  • View the Video Link here (starting at 59:27)
  • Review the Public Hearing Legal Notice – Prop. 218 here


Page last updated: 20 Mar 2026, 03:06 PM