Utility Rate Review

THE REVIEW HAS BEEN COMPLETED. ATTEND AN OPEN HOUSE OR REVIEW THE DISPLAY MATERIALS AND COMPLETE A FEEDBACK FORM BEFORE MAY 5.

The City is reviewing the rates for the water, electrical, sanitary sewer and agricultural water utilities. The goal of the review is to determine what the utility rates need to be in order to properly fund the operation of the utilities, sustain existing infrastructure and construct new projects. The review will also compare Penticton's rates to other communities with similar assets and develop a plan that balances the impact to customers. The City aims to complete the review this year and consider the findings and recommendations as part of the 2019 budget process. Watch this page for more information on how you can be involved and for updates as the review progresses.

THE REVIEW HAS BEEN COMPLETED. ATTEND AN OPEN HOUSE OR REVIEW THE DISPLAY MATERIALS AND COMPLETE A FEEDBACK FORM BEFORE MAY 5.

The City is reviewing the rates for the water, electrical, sanitary sewer and agricultural water utilities. The goal of the review is to determine what the utility rates need to be in order to properly fund the operation of the utilities, sustain existing infrastructure and construct new projects. The review will also compare Penticton's rates to other communities with similar assets and develop a plan that balances the impact to customers. The City aims to complete the review this year and consider the findings and recommendations as part of the 2019 budget process. Watch this page for more information on how you can be involved and for updates as the review progresses.

Utility Rate Review Feedback Form

The findings are in and the City wants to hear from you before they put forward a recommendation to the Utility rate Review Task Force and Council. Please review the display materials and complete the following survey before May 5.

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What type of property do you own or rent in Penticton? (Please select one and complete the form from that perspective.)
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How long have you owned or rented property in Penticton?
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Utility Rates

The City has assessed the funding needs for each utility over the next few years and, where required, developed proposals to adjust utility rates. Please answer the following questions about the recommendations for each of the utility rates.

The electric utility reserve is forecast to be higher than the minimum and optimal reserve balances during the 2020 to 2022 time period. The review is recommending the 0% increase in electrical rates continues for the next three years. Do you agree or disagree that the plan for the electric utility rate is reasonable?
The water utility reserve is forecast to be somewhat higher than the minimum and optimal reserve balances. The review is recommending an annual rate increase of 0.6% per year 2020 to 2022 or from $47 per month in 2018 to $50 per month in 2022 for the average household. Do you agree or disagree that the plan for the water utility rate is reasonable?
If you own or rent an agricultural property, the rates for water are also recommended to continue to increase 4% per year for the next three years to recover operations and maintenance costs. Do you agree or disagree that the plan for the agricultural water use portion of the water utility rate is reasonable?
The sanitary sewer utility needs to adjust rates to achieve the minimum utility reserve balance. The review is recommending rate increases of 16.5% per year for 2020 and 2021 followed by an increase of 3.7% for 2022 or from $27 per month in 2018 to $45 per month in 2022 for the average household. These rates already reflect efforts to reduce the impact on customers such as borrowing a portion to pay for the projects. Do you agree or disagree that the plan for the sanitary sewer utility rate is reasonable?

Special Topics

Customers currently pay the same rate for the water use regardless of the amount that is consumed. The City could help promote water conversation by increasing the rates for greater consumption. Do you agree or disagree that customers who use more water than the average should pay higher rates?
The City needs an estimated $7.35 million for a wastewater treatment plant expansion and compost site improvements. The review proposes to debt finance these projects and introduce rate increases (16.5% increase in 2020 and 2021 and 3.7% in 2022) to service the debt and fund other capital needs. Even with this approach, the rate increase are significant and the funding for the reserves still falls short of the minimum required. Do you agree or disagree the proposed approach is reasonable?
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Please answer the following questions to rate the effectiveness of the Utility Rate Review Open House.
Please answer the following questions to rate the effectiveness of the Utility Rate Review Open House. Strongly disagree Disagree Agree Strongly agree No opinion
The Open House was valuable.
The displays are easy to understand.
Staff and the consultants were helpful.
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