Sedona Sewer Fees Surge by 3.6%, With Further Hikes Ahead

The Sedona City Council unanimously approved a plan to increase wastewater fees during a meeting on August 13. This move aligns with broader efforts to address financial challenges related to the city’s wastewater management.

In addition to the fee increase, the council discussed a proposal to more than double development impact fees. This discussion comes amid the fiscal year 2025 budget planning process, where council members directed staff to implement a 3.6% increase in wastewater rates. According to accounting manager Renee Stanley, this adjustment is based on the previous year’s change in the consumer price index and serves as a temporary measure until a wastewater rate study is completed next year. Wastewater Director Roxanne Holland described this increase as a “proactive step” for the city’s financial sustainability.

The Sedona Wastewater Treatment Plant, situated 10 miles outside city limits, has incurred costs exceeding $300 million throughout its existence. Stanley reported that through 2023, sales tax subsidies to the plant amounted to $136 million, with plans for these subsidies to end by 2026, moving the wastewater fund toward self-sustainability.

During the council meeting, Councilwoman Kathy Kinsella inquired whether the new rate would adequately address the gap between funding and expenses. Stanley clarified, “We haven’t prepared those projections yet,” suggesting that the increase alone would not substantially resolve the financial deficits.

Public opposition to the rate hike was evident during the meeting. Donna Foreman, president of the Thunder Mountain Homeowners’ Association, expressed concerns about residents who maintain their own sewer infrastructure yet bear additional costs for city wastewater services. She urged the council to postpone the increase until service disparities are resolved.

Former Alaska Public Utilities Commission chairwoman Kate Malden emphasized the differences in service levels between private and public utility systems, underscoring the complexity of the city’s wastewater rates. Concerns were also raised by Glen Mann, who questioned whether private sewer systems in Sedona were being overcharged in comparison to the city’s rates.

Attorney Ronald Rovey raised a unique case regarding his office condominium, which has never received water service yet incurs monthly sewer assessments. He argued this situation constitutes an unfair burden. Deputy City Manager Andy Dickey acknowledged that Rovey’s experience was not an isolated one and recognized the city’s limitation in servicing private sewer lines.

The discussion included varying perspectives on how distance from the wastewater treatment facility could influence rates. Vice Mayor Holli Ploog and Councilman Brian Fultz debated the implications of living near sewer infrastructure, with Fultz claiming, “We need to do this. There’s going to be more increase coming.”

Views on the proposed increase varied, with Councilwoman Melissa Dunn referring to it as “necessary but not sufficient” and Councilman Pete Furman labeling it a “band-aid.” Outgoing Councilwoman Jessica Williamson warned that constituents should prepare for potential increases beyond their expectations.