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based on Council direction. A final proposal is <br />expected to return to Council for action before the <br />new water rates take effect on January 1. <br />The City's Water Rate Study, Cost -of -Service <br />Analysis, and additional resources, including FAQs <br />and customer bill comparison charts, are available <br />at www.PLeasantonWater.com/Rates. <br />10 <br />Sept. 24, 2025 <br />Yes <br />Opposes change from tiered to uniform <br />Over the past three years, several court cases in <br />structure; believes increase does not benefit <br />California have addressed the legality of tiered rates, <br />customers who conserve; objects to change in <br />primarily focusing on Proposition 218 requirements, <br />drought surcharge threshold; questions <br />which include: <br />transparency of revenue use. <br />• Rates must be proportional to the cost of <br />service. <br />• Revenue cannot exceed the funds required to <br />provide the service. <br />• No user should pay more than their <br />proportional share. <br />• Agencies must demonstrate the cost basis for <br />the rates. <br />In 2022, the City decommissioned its groundwater <br />wells and began purchasing all of its water from the <br />same source at the same cost. Based on recent <br />court decisions like Patz.vi.San.Diego, the City would <br />be unable to legally justify cost differences for tiered <br />rates since all water comes from the same source at <br />the same cost. Therefore, the City has proposed a <br />uniform rate structure for all customers to ensure <br />greater consistency and reduce legal risks. <br />