County’s share of expense for new water supply projects a big reason for water rate change
It took only about 10 minutes on Aug. 26 for Brooke Bailey, director of the Sarasota County Public Utilities Department, to provide the County Commission a rundown on proposed changes to water and wastewater rates for the 2026 fiscal year, plus a variety of recommended changes to county policies regarding her department.
On a single vote, the commissioners unanimously approved all of the proposed changes.
The water rates will rise 6.4%, she noted, while the wastewater rate will climb 5%. They will take effect as of the Oct. 1 start of the 2026 fiscal year.
Additionally, thanks to a commission vote in early April, staff will implement what is called the Price Index Factor of 2.23% for water rates during the 2026 fiscal year. The Florida Public Service Commission approves that factor annually to allow for “a general recovery mechanism for inflation on the cost of providing water, wastewater, and reclaimed water services” by a county.
In regard to the wastewater fees: A memo in the agenda packet for the board’s regular meeting on Aug. 26, which took place in Venice, noted that the commissioners seated in January 2020 approved an annual 5% increase in them through the 2026 fiscal year. Then, on Aug. 30, 2022, the memo continued, the board members at that time agreed to extend that rate hike through Oct. 1, 2028 to help pay for the county’s conversion of its three primary water reclamation facilities to Advanced Wastewater Treatment (AWT) status.
In regard to the water rate increase, Bailey told the commissioners on Aug. 26, “The biggest [driver] is Peace River Authority.”
In March 2024, Bailey told the board members that the county is projected to need an extra 12 million gallons of water per day (mgd) by 2033. “We have a lot of growth coming,” she noted.
The county already gets the majority of its water from the Peace River Manasota Regional Water Supply Authority, Bailey continued that day. Because of the long timelines involved in creating additional water supply, she said, the Peace River Authority already was working on a surface water supply expansion project, which would provide an extra 18 mgd to meet its customers’ demands through 2040. DeSoto County leaders already had requested 1 mgd from that new supply, Bailey told the board members.
A county staff memo included in the commission’s agenda packet for its March 19, 2024 meeting said that construction of that project was scheduled to begin in January of this year, with the completion anticipated in January 2028. The total cost of that undertaking was estimated at $504 million, the memo added. “The Authority has secured $133 [million] of grant funding,” the memo continued, “leaving an estimated project cost of $370 [million] to be paid by the utility customers.”
Sarasota County would have to fund about $248 million — 67% — of the remaining expense of that project to ensure that it could receive the extra 12 mgd per day that staff knows customers will need by 2031, the memo said. During her presentation to the commissioners, Bailey characterized the county’s expense as “close to” $250 million.
This week, she noted the estimate is $337 million for Sarasota County for that project plus a related Peace River initiative. That will increase the county’s debt service by approximately $30 million a year by 2030, Bailey added.
Commissioner Mark Smith pointed out of the Peace River Authority decision, “It’s huge for our future. It guarantees us a water supply well into the future.”
Nonetheless, he acknowledged, “It’s not lost on me: We’re all paying for it.”
The figures
During her Aug. 26 presentation, Bailey said that the cost of water represents 30% of the average, single-family county customer’s monthly Public Utilities bill. The rate is $33.58, a slide showed. The proposed increase would put the figure at $36.48.
That average single-family household uses 4,000 gallons of water a month, Bailey pointed out.
The wastewater rate is $69.04, the slide noted; that will rise to $72.49.
The total variance with those changes is $6.35, for a total bill of $108.97.
Showing the commissioners a slide that compared water and wastewater rates from other counties to those proposed for Sarasota County customers, Bailey acknowledged that Sarasota County was moving farther into the higher range. However, she noted, some of the other local governments also will be undertaking initiatives that will necessitate increases for their customers.
A focus on being customer-friendly
Next, Bailey turned to proposed changes to the county resolution regarding adjustments to utility bills.
She thanked her fellow county staff members for collaborating on those during meetings that began in January. The goal, she said, was to simplify the document that contains all of the changes, making it easier for customers to use. The result was the removal of four pages, resulting in a 25-page document, she noted.
One big change, Bailey showed the commissioners, was a grouping of all the water and wastewater rate information, by type of account, on one page.
Then Bailey provided a rundown of other changes to the adjustments resolution:
- An expansion of the types of customers eligible to obtain a waiver for a security deposit.
- Removal of the county’s provision for sewer line cleaning on private property. Bailey pointed out that she had been unaware that the county even provided that service. Her slide noted that none of the following counties provides that, either: Manatee, Charlotte, Hillsborough or Pinellas.
- Addition of a $30 fee for returning a check to a customer who has overpaid a bill.
- Removal of pest control and law service tank trucks from the list of customers who must pay extra fees. Bailey said they would be considered bulk users.
- An increase from $25 to $50 for the fee for a lien search.
- An increase from $300 to $500 for the second occurrence of meter tampering for a customer.
When meters are relocated, Bailey explained, “We can’t track them.” She added, “We actually nave more second occurrences than first [occurrences].”
- Imposition of a $1,000 fee for any unauthorized connection following a first occurrence.
Such an incident involves someone tapping into the county’s water system without permission, Bailey pointed out.
Commissioner Ron Cutsinger asked, “Is there a criminal referral on that? Are they breaking the law?”
With a first occurrence, she indicated, sometimes the offender is not aware of the need for the county’s permission. However, if a person takes such action more than once, she continued, county staff can ask the Sheriff’s Office to become involved.
- The definition of “average consumption” has been changed to a 12-month average — the industry standard. Previously, the timeline staff used was six months, Bailey said. The new period works better for seasonal residents, she added.
- Overcharges will be tracked back for no more than 48 months, instead of 60 months, which matches the policy on undercharge tracking.
- Customers will be given up to 12 months to submit a request for a refund following County Administrator Jonathan Lewis’ signing of any emergency declaration. Sometimes, Bailey noted, it takes a lot of time for repairs to be made to structures in the aftermath of a natural disaster.
The resolution explains that change as follows: “During a declared State or County Emergency, residential customers who experience an above-average increase in water usage through their meter and can provide evidence that the increase was directly caused by the event in the declared emergency may be eligible for an additional Abnormal Event adjustment. This adjustment is based on extraordinary and extenuating circumstances related to the emergency. Requests for such adjustments must be submitted no later than twelve (12) months after the date the emergency was declared.”
- The provision of details about the process to be followed to get an adjustment:
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Image courtesy Sarasota County
Following Bailey’s presentation, Commissioner Ron Cutsinger made the motion to approve all of the proposed changes, and Commissioner Mark Smith seconded it. The board members voted 5-0 in favor of that motion.
Cutsinger told Bailey, “Brooke, you’re doing a great job. … The transition has been so seamless.” He was referring to County Administrator Lewis’ appointment of Bailey as the director of Public Utilities following the late 2023 retirement of Public Utilities Director Mike Mylett.