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HomeMy WebLinkAbout2026.03 02 RESO 2026-2 Adopting 2026 Water Rates RESOLUTION 2026-2 RESOLUTION ADOPTING A PRO FORMA FINANCIAL GUIDE FOR WATER AND SANITARY SEWER OPERATIONS FOR THE 2026 FISCAL YEAR AND ESTABLISHING SERVICE RATES WHEREAS, the Finance Department has developed a pro forma financial guide for water and sanitary sewer operations for the 2026 fiscal year; and WHEREAS, it is necessary to provide adequate revenue for water and sanitary sewer operations as contained in the pro forma financial guide; and WHEREAS, the water and sanitary sewer service rates recommended herein reflect the true and actual expenses incurred by the city for the services being provided. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hugo, Minnesota, as follows: I. The pro forma financial guide for water and sanitary sewer operations for the 2026 fiscal year, attached hereto and made a part of this resolution, is hereby approved. 2. The water and sanitary sewer service rates for the 2026 fiscal year, attached hereto and made a part of this resolution, are hereby approved and shall remain in effect until altered by resolution of the City Council or until otherwise altered by law. 3. The Finance Department is hereby directed to provide notice to all municipal utility customers advising them of the water and sanitary sewer service rates approved herein. 4. The Finance Department is hereby directed to develop a pro forma financial guide and recommended service rates on an annual basis going forward. Upon roll call, the following Members voting AYE: Krull, Miron, Petryk, Strub, Weidt Upon roll call, the following Members voting NAY: None Whereupon said resolution was declared passed and adopted this 2nd day of March,2026. om Weidt, Mayor ATTEST: Michele Lindau, City Clerk Gallons/Qtr. Rate Gallons/Qtr. Rate Base Rate:$41.50 per quarter Base Rate:$44.50 per quarter Volume Rate: Volume Rate: 1 ‐ 11,000 $1.15 per thousand 1 ‐ 11,000 $1.15 per thousand 11,001 ‐ 20,000 $2.30 per thousand 11,001 ‐ 20,000 $2.30 per thousand 20,001 ‐ 29,000 $3.45 per thousand 20,001 ‐ 29,000 $3.45 per thousand 29,000+ $6.45 per thousand 29,000+ $6.45 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Base Rate:$41.50 per quarter Base Rate:$44.50 per quarter Volume Rate: Volume Rate: All Gallons $2.30 per thousand All Gallons $2.30 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Base Rate:$41.50 per quarter Base Rate:$44.50 per quarter Volume Rate: Volume Rate: 1 ‐ 5,000 $1.15 per thousand 1 ‐ 5,000 $1.15 per thousand 5,001+ $1.90 per thousand 5,001+ $1.90 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Volume Rate: Volume Rate: All Gallons $8.40 per thousand All Gallons $9.25 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Charge for Each SAC Unit $85.00 per quarter Charge for Each SAC Unit $88.50 per quarter Single Family = 1 SAC Unit Single Family = 1 SAC Unit Multi‐Family = 1 SAC Unit per Dwelling Multi‐Family = 1 SAC Unit per Dwelling Volume Rate: Volume Rate: 1 ‐ 9,000 No Charge 1 ‐ 9,000 No Charge 9,001+ $2.40 per thousand 9,001+ $2.40 per thousand Gallons/Qtr. Rate Gallons/Qtr. Rate Charge for Each SAC Unit $26.50 per quarter Charge for Each SAC Unit $27.50 per quarter SAC Units Vary by Building SAC Units Vary by Building Volume Rate: Volume Rate: 1 ‐ 3,000 No Charge 1 ‐ 3,000 No Charge 3,000+ $2.40 per thousand 3,000+ $2.40 per thousand 2025 Multi‐Family Residential Water 2026 Multi‐Family Residential Water City of Hugo Utility Rates Effective January 1, 2026 2025 Rates 2026 Rates 2025 Single‐Family Residential Water 2026 Single‐Family Residential Water 2025 Commercial, Industrial and Institutional Water 2026 Commercial, Industrial and Institutional Water 2025 Irrigation (Metered Separately) 2026 Irrigation (Metered Separately) 2025 Residential Sewer 2026 Residential Sewer The number of gallons charged for residential sewer service shall be the same for all quarters and shall be determined by the amount of water used during the winter quarter (January, February and March) 2025 Commercial, Industrial and Institutional Sewer 2026 Commercial, Industrial and Institutional Sewer 2025 rates will first apply to the bill you receive in 2026 rates will first apply to the bill you receive in connection per year.  This fee is billed quarterly and appears as a State Fee on your utility bill.  The fee is required by state law and is collected by the City on behalf of the State of Minnesota. April, 2025 (for the January, February and March Quarter) April, 2026 (for the January, February and March Quarter) Effective for 2026, the Minnesota Legislature has increased the Safe Drinking Water Service Connection Fee to $15.22 per