The Santa Monica City Council will consider significant changes to both water rates and zoning regulations at its Tuesday meeting, with residents potentially facing substantial increases in their water bills over the next five years.
A five-year water and wastewater rate study prepared by the Public Works Department proposes rate increases needed to maintain the city's aging water infrastructure, including rehabilitation of four storage reservoirs that are 60 to 100 years old.
Two options are being presented for water rate adjustments. Under the recommended Option 1, rates would increase by 20% in the first year, followed by increases of 16%, 9%, 9%, and 6% over the next four years. A less expensive Option 2 would start with an 11% increase, followed by increases of 9%, 7%, 6%, and 6%, but would defer critical infrastructure projects.
"The average single-family home could see their bimonthly water and wastewater bills increase by $25-37 each year for five years, amounting to roughly $13-19 per month in annual increases," according to Public Works Director Rick Valte.
For an eight-unit apartment building, bills could increase by $48-80 bimonthly, or about $6-10 per unit monthly, each year over the five-year period.
The rate increases are necessary partly because of revenue shortfalls totaling $18.5 million in the Water Fund and $12 million in the Wastewater Fund over the past five years, caused by the COVID-19 pandemic and changing water usage patterns related to climate change.
The council will hold a study session on the water rates before final decisions are made in June, following a 45-day public notice period required under Proposition 218.
Downtown Revitalization Efforts
The council will also vote on an interim zoning ordinance to increase flexibility for businesses in the Downtown and Third Street Promenade areas, and an emergency ordinance to extend temporary use permit exemptions for homelessness services through 2028.
The proposed zoning amendments would exempt uses such as facilities for public or private meetings such as community centers, banquet centers, and religious facilities from some requirements that currently inhibit their ability to operate.
The changes would remove restrictions including minimum parcel size requirements, buffering distances from residential uses, landscaping requirements, and operating hour limitations.
"Staff does not have concerns with eliminating these additional requirements within this area due to its proximity to the Promenade where the greatest mix of uses with the highest day and night activity is encouraged," the report states.
The amendments would also standardize animated and digital sign regulations for businesses on the Promenade. Currently, sign requirements differ for one-story buildings versus multi-story structures. The proposed changes would create a uniform standard allowing signs up to five feet in height above storefronts.
If approved, the interim zoning ordinance would remain in effect until November 2028, though the council could make any provisions permanent before that date.
SaMo Bridge Homelessness Program
The second measure involves extending an emergency ordinance that exempts city projects from temporary use permit requirements during a declared emergency, specifically to support the SaMo Bridge program aimed at addressing homelessness.
SaMo Bridge, funded by a $7.9 million grant, is a diversion program that provides services to homelessness individuals with criminal cases, mental health issues, or substance abuse problems.
The program will operate a "respite hub" where individuals can address basic needs and enroll in 90-day care coordination plans to secure housing and treatment services. The City Attorney's Office will dismiss citations and cases for participants who complete their care plans.
Originally, the city had identified the Civic Center Auditorium East Wing area as the best location. However, after community engagement meetings, staff has determined that the parking lot on the corner of Pico Boulevard and Main Street should serve as the location for the respite hub.
The grant requires the program to be operational by April 2025 and provide services through March 2028.
The council meeting begins at 5:30pm Tuesday at City Hall. Community members can attend in person or view the meeting live on the city's YouTube channel.
