Sewer Rates
The City of Pleasanton is committed to maintaining equitable and justifiable rate structures that support the needs of the sewer system and ensure long-term financial sustainability. Pleasanton’s sewer system is funded through a separate Sewer Enterprise Fund, which covers all sewer-rated services and infrastructure exclusively. These funds cannot be used for water services, projects, or other general city expenses.
Pleasanton has taken a phased and thoughtful approach to funding the future of our water and sewer systems, balancing infrastructure needs, financial stability, and the impact on our community. The City’s rate-setting process is transparent, compliant with legal requirements, and informed by community input.
The City is currently reviewing its sewer rates. Similar to the water rate setting process, the City is implementing a three-step approach to ensure sewer rates accurately reflect the actual system needs while maintaining consistency and financial health:
Step 1: Update the City’s Sewer System Management Plan (SSMP) and develop a long-term capital improvement plan.
Step 2: Perform a financial analysis and create a financial plan to serve as the basis for the sewer rate study.
Step 3: Prepare a Sewer Rate Study and Cost-of-Service Analysis to identify recommended rates, changes to the rate structure, and related fees.
2026 Sewer Rate Update
To ensure financial sustainability as the City implements its SSMP, the City is conducting a 2026 Sewer Rate Study. The goal of the study is to establish cost-based, fair, and legally compliant rates and connection fees to support the City’s sewer operations, maintenance, and capital improvements.
On February 17, 2026, the Pleasanton City Council reviewed and approved the long-term financial plan developed as part of the sewer rate-setting process. The financial plan evaluated multiple funding scenarios at different levels of near-term investment and assessed their impact on long-term system risk.
After reviewing the analysis, the City Council selected the “Maintain” scenario as the preferred approach. This scenario was selected because it reflects a balanced strategy that addresses high-priority infrastructure needs while sequencing other improvements over time to responsibly manage costs and long-term risk.
The Council also directed staff to return with additional rate modeling before finalizing any proposed sewer rate adjustments. Councilmembers acknowledged both the significant infrastructure needs identified in the SSMP and Sewer Capital Improvement Program (Sewer CIP) and the importance of carefully considering the impact on customers.
Next Steps:
The Pleasanton City Council is scheduled to consider the proposed sewer rate structure, sewer rates, and updated sewer connection fees at a public meeting on Tuesday, June 2, 2026.
The proposed adjustments are intended to support implementation of the Sewer Rate Study and ongoing investment in the City’s sanitary sewer infrastructure system.
Any proposed sewer rate adjustments will be subject to a public review process in accordance with Proposition 218 before adoption. Ongoing updates will be posted to this webpage as they are announced. To stay informed about the sewer rate setting process, sign up for the Pleasanton Pipeline Quarterly e-Newsletter.
Questions About the Sewer Rate Study?
Find answers to common questions about the City’s sewer rate study, sewer rates, infrastructure needs, and wastewater system funding.
Questions not addressed below may be submitted to [email protected]
Why is a sewer rate study necessary?
The City of Pleasanton must regularly assess its water and sewer rates and fees to ensure they sufficiently cover the City’s costs to provide service. The City relies on sewer rate revenues to fund the operations and maintenance of its sewer collection system.
To adjust rates, a sewer rate study is necessary to ensure that sewer rates are financially sustainable, legally compliant, and sufficient to maintain reliable wastewater service for the community.
The study evaluates the actual cost of operating, maintaining, repairing, and replacing the City’s aging sewer infrastructure, while also accounting for increasing regional treatment costs charged by Dublin San Ramon Services District, inflation, regulatory requirements, and long-term capital improvement needs.
Sewer systems require continuous investment to reduce the risk of pipe failures, sewer overflows, service disruptions, and costly emergency repairs. Much of Pleasanton’s sewer infrastructure was installed decades ago and must be rehabilitated or replaced over time to support the long-term reliability of the system and protect public health and the environment.
This is the first time Pleasanton sewer rates have been comprehensively evaluated with a cost-of-service analysis designed to right-size and more equitably distribute costs across customer classes. For many years, the City relied on CPI-based adjustments, which did not generate sufficient revenue to operate, maintain, and rehabilitate the sewer system. This has resulted in significant deferred maintenance needs and costly emergency repairs.
This rate study helps the City:
- Determine whether sewer rates are sufficient to cover the cost of service, i.e. operating and maintenance costs
- Plan for funding future infrastructure rehabilitation and replacement, estimated at more than $55 million over the next four years
- Ensure rates are fair, proportional, and compliant with California legal requirements for utility fees
- Avoid sudden large rate increases by implementing gradual, predictable adjustments over time
When was the last time Pleasanton conducted a sewer rate study?
Historically, Pleasanton has taken a conservative approach to its sewer rates, making adjustments tied to changes in the cost of living.
The last comprehensive sewer rate review was completed in 2022, when the City adopted the current sewer rate schedule and authorized annual adjustments based on the Consumer Price Index (CPI) rather than conducting a full cost-of-service reevaluation each year.
Since then, Pleasanton’s sewer rates have only been adjusted annually through CPI-based increases to keep pace with inflation and routine operating cost changes. For example, the current 2026 local sewer rates reflect a 2.48% CPI adjustment. Overall, since 2018, the City’s sewer rates have increased by only $5.58 for residential customers, an average of $0.80 per year.
This year, the City is conducting its first comprehensive sewer rate study as part of the broader sewer financial planning process. The study is evaluating long-term system needs, updated capital improvement requirements identified through the City’s new Sewer System Management Plan (SSMP) and Long-Term Capital Improvement Plan (approved last year), regional treatment cost impacts, and overall financial sustainability to establish rates that are cost-based, legally compliant, and sufficient to address the City’s aging sewer system over the next several years.
Why is it important that Pleasanton conduct a comprehensive sewer rate study now?
The City must adhere to strict state and federal standards and is dedicated to meeting these through responsible planning and investments. Since 2023, the City has adopted a strategic and systematic approach to addressing its aging water and wastewater systems. Last year, the city adopted an updated Sewer System Management Plan (SSMP) to establish a complete and comprehensive sewer management program that supports required operations and maintenance, repair and replacement, and capital improvement program (CIP) projects to meet the minimum State requirements for effective sewer system management and to maintain compliance with all sanitary sewer regulatory requirements.
A key driver for this timing is compliance with the State Water Resources Control Board’s requirements under the SSMP framework. The SSMP requires agencies, like Pleasanton, to not only properly maintain and operate their sewer systems, but also to demonstrate ongoing financial and capital planning capacity to support system maintenance, rehabilitation, and spill prevention. In other words, regulatory compliance requires that the City maintain a documented, sustainable funding strategy to implement the SSMP over time.
While annual CPI adjustments help maintain short-term financial stability, they do not assess whether rates are sufficient to meet long-term infrastructure, regulatory, and capital project needs. A comprehensive rate study ensures the City ties SSMP requirements to a defensible cost-of-service analysis and can demonstrate adequate financial capacity during State audits or regulatory reviews.
What does the sewer rate pay for?
Sewer rates fund the full cost of safely collecting and transporting wastewater to regional treatment facilities for responsible treatment and discharge. This includes ongoing operations, maintenance, and capital investments in the City’s aging wastewater system to ensure it can safely transport wastewater, protect the environment, and safeguard public health.
More specifically, sewer rates support system-wide requirements such as:
- Collection and transport of wastewater through the sewer system
- Wastewater treatment and environmental compliance
- Operation, maintenance, repair, and replacement of aging infrastructure
- Long-term capital planning and infrastructure investments
- Emergency preparedness and response capabilities to protect public health and the environment
- Regulatory compliance and reporting under State and federal wastewater permits
These costs are essential because sewer service is a continuous 24/7 utility that depends on both the City’s local infrastructure and regional treatment infrastructure operated by DSRSD or Livermore.
In Pleasanton, customers pay two sewer rates: a City rate to collect and transport the wastewater and a pass-through rate from the Dublin San Ramon Services District or the City of Livermore (Ruby Hill only) for wastewater treatment and discharge.
City sewer rates pay for the operation, maintenance, inspection, cleaning, repair, and replacement of the City’s sewer collection system. This includes approximately 253 miles of gravity pipelines, 4.9 miles of force mains, 8 siphons, 11 lift stations, 6,032 manholes, routine sewer cleaning and inspections (including closed-circuit TV inspections), root control, emergency response to sewer blockages and overflows, regulatory compliance under the State’s Sewer System Management Plan (SSMP), and longer term capital improvements needed to rehabilitate the City’s aging infrastructure and prevent dangerous sewer spills and failures.
At the regional level, sewer rates fund wastewater transport, treatment, and disposal after the wastewater leaves the City’s system for treatment at the DSRSD or Livermore treatment facilities. These costs also include operating regional interceptor pipelines, running advanced treatment processes to meet state and federal water quality standards, managing biosolids, maintaining treatment plant facilities, and ensuring compliance with environmental discharge permits. These rates are established by DSRSD or the City of Livermore as a pass-through and are not established by the City of Pleasanton.
What are the different sewer rates charged by the City?
Residential customers are charged a fixed sewer rate regardless of how much wastewater an individual household generates. Pleasanton’s residential sewer charge is structured as a fixed charge because the City’s sewer collection system costs are largely independent of day-to-day water use. Unlike water rates, which are based on metered water consumption, residential sewer rates are based on average indoor water use assumptions informed by data from the American Community Survey and industry standards.
Commercial, industrial, and institutional customers are charged a variable sewer rate based on estimated wastewater flow, as determined by their winter water usage, and strength characteristics associated with their type of business or facility.
Regional wastewater treatment charges from Dublin San Ramon Services District (DSRSD) or the City of Livermore are also included as a pass-through charge on customer bills and vary depending on the customer classification and treatment requirements. These rates are not set or controlled by the City.
How long does the contract run with DSRSD?
Dublin San Ramon Services District (DSRSD) has been providing wastewater treatment services to the City of Pleasanton under contract since September 1965. The most recent version of the Agreement for Wastewater Disposal Services was signed in 1992 and remains active today, with no expiration date.
How often can the DSRSD charge be adjusted?
Periodically, DSRSD conducts a comprehensive cost-of-service study for regional wastewater treatment to ensure adequate revenues to fund operations, maintenance, and capital replacement needs. DSRSD completed the most recent
DSRSD completed the most recent cost-of-service study in May 2026, and a new five-year rate schedule of rate adjustments was adopted for the next five fiscal years (starting July 1, 2026). Even with the new rate increases, DSRSD’s regional wastewater rates remain among the lowest in Alameda and Contra Costa Counties.
To learn more about DSRSD and its rates, please visit the District’s webpages for Residential and Non-Residential Wastewater Rates. View this webpage for past rate studies.
When did DSRSD rates last change, and from what amount to the current amount?
The most recent rate adjustment for DSRSD’s regional sewer services affecting Pleasanton customers took effect July 1, 2025. The bi-monthly fixed single-family residential charge increased from $59.97 to $61.58.
Based on the cost-of-services study adopted by DSRSD board in May 2026, the updated rates will take effect on July 1, 2026. The bi-monthly fixed single-family residential charge for regional sewer services will increase from $61.58 to $65.58.
How does Pleasanton provide input on DSRSD regional wastewater treatment rates?
DSRSD provides regional wastewater treatment services and disposal to Pleasanton by contract. The DSRSD regional wastewater treatment charge shown on Pleasanton customer bills is a pass-through charge that is collected by the City and remitted directly to DSRSD. The 1992 contract requires DSRSD to provide notice to Pleasanton when rate adjustments are being considered. In addition, Pleasanton and DSRSD staff coordinate throughout the development of the cost-of-service study, and Pleasanton has an opportunity to review and provide input to the adoption of new regional wastewater treatment rates.
Can the City use funds from sewer rates for other uses?
No, Pleasanton’s sewer system is funded by a separate Sewer Enterprise Fund that covers all sewer-related services and infrastructure. The City cannot profit from the rates charged to customers or use these funds for any purpose other than customer billing. Sewer rates directly support only the costs associated with the City’s sewer operations, maintenance, and capital improvements.
What are connection fees?
Connection fees are one-time capital fees assessed against new developments in the City to recover the proportional share of capital facility investments to be constructed or previously constructed for the sewer system to accommodate new growth.
How can I stay informed about the 2026 Sewer Rate Update?
Sign up for the City’s special edition, Pleasanton Pipeline e-Newsletter. This newsletter will be issued regularly to keep customers informed about Pleasanton’s 2026 Sewer Rate Update. Additionally, you can find regular updates on our website or by following us on Facebook and Instagram.
What would it take to shift sewage treatment for Ruby Hill from Livermore to DSRSD?
Connecting Ruby Hills to the City’s sanitary sewer pipe network would require approximately 5,700 lineal feet of new sewer piping in Vineyard Avenue, plus a new lift station near Fire Station 5. The cost for these improvements is significant and must be funded solely by the Ruby Hills community.
Where will sewage from the new project on Vineyard Avenue be treated — DSRSD or Livermore?
The new project (Tract 8724 by Trumark Homes) will connect to the City’s existing sanitary sewer system on Vineyard Avenue. Wastewater from the project will flow through the City’s sewer collection system and be conveyed to DSRSD’s regional wastewater treatment facility for treatment.