San Clemente

City Council

February 17, 2026 Order of Business 8 #B

Agenda Item B

8B. PROTEST HEARING TO CONSIDER ALL WRITTEN PROTESTS AND HEAR ALL ORAL COMMENTS TO PROPOSED WATER RATES AND FEES PURSUANT TO PROPOSITION 218, CONSIDERATION OF A RESOLUTION ADOPTING PROPOSED WATER FEES AND RATES WITH ANNUAL ADJUSTMENTS AND PASS-THROUGH RATES THROUGH JANUARY 1, 2030 AND INTRODUCTION (FIRST READING) OF AN ORDINANCE AMENDING SAN CLEMENTE MUNICIPAL CODE SECTION 13.04.220 REGARDING ADOPTION OF FUTURE WATER RATES\nPublic hearing (a Proposition 218 Protest Hearing) to count timely written protests and to consider changes to the City's water rate structure, potential rate increases over a five-year period, implementation of wholesale water costs pass-through adjustments, and implementation of a "demand management rate" to offset revenue fluctuations during periods of reduced water demands (such as a prolonged drought) to stabilize City revenues so the City can continue to operate and maintain the City's water system.\nStaff Recommendation\n1. Conduct the protest hearing to consider all written protests and hear all oral comments.\nAfter conducting the hearing, and if there is not a majority protest:\n2. Adopt Resolution No. 26-29 entitled A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN CLEMENTE, CALIFORNIA, MAKING FINDINGS FOLLOWING PROTEST HEARING, AND ADOPTING WATER RATES AND CHARGES, WITH ANNUAL ADJUSTMENTS AND PASS-THROUGH RATES THROUGH JANUARY 1, 2030.\n3. Introduce and conduct a first reading of Ordinance No. 1799 entitled AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN CLEMENTE, CALIFORNIA, AMENDING SECTION 13.04.220 OF THE CITY OF SAN CLEMENTE MUNICIPAL CODE RELATING TO WATER RATES.