DONNER SUMMIT, Calif. — Despite strong opposition from residents concerned about rising costs, the Donner Summit Public Utility District approved a new water and wastewater rate structure that will increase customer bills over the next five years.

The district initially postponed adopting the rates after receiving what appeared to be enough formal protests to potentially block the increases under California’s Proposition 218 process. An initial count showed 199 protests against the water rate increases and 201 protests against the wastewater rate increases.

Under Proposition 218, public agencies must hold a hearing before increasing rates, and property owners have the opportunity to submit formal written protests. If a majority of affected property owners protest, the proposed rates cannot be adopted.

District officials conducted a recount and validation of the submitted protests following the May 19 public hearing. The review found that many protests were from properties that were not customers of the district, or invalid. The final validated count dropped to 152 protests against the water rates and 154 against the wastewater rates.

For the water rate increase to be suspended, 204 valid protests were required. For wastewater rates, 185 protests were needed. Because neither threshold was met, the board approved the new rate structure during its June 2 meeting.

“It’s getting so expensive, we might literally have to move because I can’t afford to flush my toilet,” one homeowner said during public comment at the June 2 meeting.

Residents urged the district to explore alternative funding sources rather than relying on ratepayers. Suggestions included pursuing additional grants and even implementing a resort tax that could help offset utility costs by capturing revenue from visitors.

District board members said they have already pursued available funding opportunities but face unique challenges when seeking outside assistance. While some year-round residents struggle with the high cost of living, the region’s large number of second-home owners raises overall income statistics, making the community ineligible for many programs designed for disadvantaged areas.

District board members said the rate increases are necessary to maintain financial stability and fund critical infrastructure improvements to the water and wastewater systems.

Under the approved structure, a typical residential customer with a ¾-inch water meter will see water bills increase by 8% annually during the first three years, followed by 6.5% increases in years four and five.

Wastewater rates will rise by 5% annually during the first three years and by 4% annually during the final two years of the plan.