CITY COUNCIL REGULAR MEETING SUPPLEMENTAL MATERIALS 6-2-26

SUPPLEMENTAL MATERIAL 3 5. On page 7 of 15 (third paragraph) restaurant data from $1200 to $1700 per month, is the rate increase going to put our local businesses at risk for failure? A. Staff recognizes that increases in utility costs can impact local businesses, including restaurants. The proposed rates are designed to recover the actual cost of providing wastewater collection, treatment, regulatory compliance, infrastructure maintenance, and future system replacement necessary to maintain reliable sewer service for the community. A typical full-service restaurant using approximately 154 units of water would see its bimonthly sewer bill increase from approximately $1,239 to $1,703, an increase of $463 per billing cycle. This equates to approximately $7.72 per day. AT the April 21, 2026, City Council workshop, staff demonstrated that the proposed restaurant sewer rates remain generally comparable to rates charged by neighboring Tri-Valley agencies. After the proposed increase, Pleasanton's restaurant sewer rates remain competitive with and generally consistent with rates charged by neighboring Tri-Valley agencies, indicating that Pleasanton is not an outlier in the regional market. The regional comparison is included on Page 8 of 9 of the April 21, 2026 workshop staff report. 6. In Table 5, why did rates go down in 2024? A. The decrease in the Single-Family DSRSD treatment charge in FY 2024 was the result of DSRSD’s 2023 Cost-of-Service Study. That study established rates for FY 2024 and resulted in a slight reduction to the Single-Family treatment charge, while other customer classes experienced larger increases.