Since the 2021-24 rate ordinance was passed in Jan. 2021, inflation has greatly exceeded planning estimates upon which the rates were based. As of November 2022, consumer inflation (typical household goods and services) is greater than eight percent per year. The producer price index (construction goods and services, which is representative of cost pressures to the Utility) is greater than 21 percent per year. This level of inflation threatens the Utility’s ability to maintain infrastructure for water, sewer and storm drainage under the level of funding provided in the 2021-24 rate ordinance. Increased funding is necessary to avoid risk of service disruption and to meet requirements of operating permits, laws and regulations that govern the Utility.