Memorandum
Date: March 24, 2026
To: The Honorable Brad Rasmussen, Chair, Lake County Board of Supervisors
From: Robin Borre, Special Districts Administrator
Subject: (Sitting as the Lake County Sanitation District Board of Directors) Presentation considering Sewer Rate Studies for LACOSAN- Lands End/ South Lakeport Sewer and LACOSAN- SE Regional
Executive Summary:
On November 4, 2025 Lake County Special Districts entered into an agreement with Lechowicz & Tseng Municipal Consultants for Utilities Rate Studies. The rate studies were conducted for Sewer Rates for LACOSAN- Lands End/ South Lakeport Sewer and LACOSAN- SE Regional. The rate studies were included and funded in the fiscal year 25/26 budget.
The studies developed the districts rates via the Proposition 218 process. The implementation of utility rates in California is governed by the substantive and procedural requirements of Proposition 218 the “Right to Vote on Taxes Act” which is codified as Articles XIIIC and XIIID of the California Constitution. The District must follow the procedural requirements of Proposition 218 for all utility rate increases.
California Environmental Quality Act (CEQA)
The study and potential Ordinance is exempt from the California Environmental Quality Act (CEQA), Public Resources Code Section 21000 et seq., because it can be seen with certainty that there is no possibility that the enactment of this Ordinance would have a significant effect on the environment (Pub. Resources Code Section 21065; CEQA Guidelines Sections 15378(b)(4), 15061(b)(3)) and because the Ordinance involves the approval of government revenues to fund existing services (Pub. Resources Code Section 21080(b)(8); CEQA Guidelines Section 15273(a)(4).
A noticing requirement is required to be mailed to all affected property owners followed by a public hearing not less than 45 days after the required notices are mailed. The rate increases are subject to majority protest, if more than 50% of affected property owners or ratepayers submit written protests against the proposed rate increases, the increases cannot be adopted.
Lake County Special Districts with Lechowicz & Tseng Municipal Consultants will present the results of the rate studies, the proposed new rates and address any potential concerns from the board. Special Districts will be looking to establish direction from the Board then proceed with the required mailing notices.
_____________________________________________________________________________
If not budgeted, fill in the blanks below only:
Estimated Cost: _______ Amount Budgeted: __________ Additional Requested: 0 Future Annual Cost: 0
Consistency with Vision 2028 and/or Fiscal Crisis Management Plan (check all that apply): ☐ Not applicable
☒ Well-being of Residents ☒ Public Safety ☒ Infrastructure ☐ Technology Upgrades
☐ Economic Development ☐ Disaster Recovery ☐ County Workforce ☐ Revenue Generation
☐ Community Collaboration ☐ Business Process Efficiency ☐ Clear Lake ☐ Cost Savings
If request for exemption from competitive bid in accordance with County Code Chapter 2 Sec. 2-38, fill in blanks below:
Which exemption is being requested? N/A
How long has Agreement been in place? N/A
When was purchase last rebid? N/A
Reason for request to waive bid? N/A
Recommended Action:
Receive Presentation considering Sewer Rate Study for LACOSAN- Lands End/ South Lakeport Sewer and LACOSAN- SE Regional