Coachella Launches Rate Process That Could Lift Water Bills 50%

Coachella residents could see their combined water and sewer bills jump about 50% next year as the city moves to fund chromium-6 treatment at all seven of its wells. On Oct. 14, 2026, the City Council voted 5-0 to start the Proposition 218 notice process, with a public hearing set for Dec. 9. The council also declared a local El Niño emergency, approved a Lakers sponsorship over the mayor's objection and signaled support for a mental health program paid for with opioid settlement money.

---

• Water and sewer rate process launched 5-0. The average combined bill could rise from $95 to about $140 in year one.
• El Niño local emergency declared unanimously. The declaration gives the city manager emergency powers ahead of forecast storms.
• $46,824 Lakers sponsorship passes 4-1. Mayor Frank Figueroa cast the lone no vote.
• Care Solace mental health hub wins council consensus. The program would use opioid settlement funds, not the general fund.
• Urgency EV charger permitting ordinance adopted 5-0 while the city defends a lawsuit over state permitting law.

---

Water Bills Face First Increase Since 2015

Why it matters: Coachella has not raised water rates since Jan. 1, 2015, or sewer rates since July 1, 2021. Now state-required chromium-6 treatment is driving a proposed five-year rate plan for fiscal years 2027-2031 that would touch every household budget in the city.

The basics: Proposition 218 is the state constitutional process cities must follow before raising property-related fees such as water and sewer rates. It requires mailed notices and a public hearing. Tuesday's vote authorized the notices. It did not adopt rates.

Where things stand: Eric Colocchia of consultant NewGen Strategies and Solutions said the utilities receive no general fund subsidy. The baseline plan fully funds chromium-6 projects at all seven wells, at a cost of about $54M. That plan implies a cumulative 123% increase in water rates over five years. A $50M state grant would cut the increase to about 80%.

For a typical household, the first-year jump is steep. "This recommendation would increase that in total about 50% in that first year, up to $140," said Colocchia. The average combined bill would eventually reach about $170.

Utilities Director Castulo Estrada said notices would go out immediately. He said the city had already held community workshops and offered a bill simulator.

The other side: Councilmembers worried about affordability and urged a united lobbying push in Sacramento. "Adding a significant jump, I think, for water is going to be very difficult for families," said Councilmember Stephanie Virgen.

Mayor Frank Figueroa asked staff to replace technical charts with mockups that look like actual bills. "Because what you showed us is too technical, I think, for the people," he said.

Decisions and stakeholder impacts: The vote was For: 5 (Martinez, Virgen, Delgado, Perez, Figueroa), Against: 0, Absent: 0. No one spoke during public comment. Staff framed the decision as tied to state money. The State Water Board funding package targets Dec. 31, and Estrada warned that "not moving forward in this direction essentially removes us from our ability to go after that grant funding at the state."

The trade-off is stark. Ratepayers carry the full chromium-6 cost unless Sacramento helps, and the city's grant odds depend on showing it has a funding plan.

What's next: A Prop 218 public hearing is scheduled for Dec. 9. Residents who want to weigh in should watch for mailed notices.

---

Lakers Deal Passes Despite Questions About Return

Why it matters: The three-year, $46,824 sponsorship with SoCal Arena Company LLC, which operates the NBA G League Coachella Valley Lakers, draws first-year money from the general fund that was not in the adopted budget. The agreement will not come back to the council for annual approval.

Where things stand: Staff said the city would pay $15,000, then $15,600, then $16,224. In return, Coachella gets advertising at four home games a year, 60 group tickets and 24 lower-bowl tickets at Acrisure Arena. Councilmembers floated raffling tickets to residents and partnering with youth or adaptive-sports groups. Resident Frankie Molina had suggested a youth clinic in a written comment.

The other side: Councilmember Denise Delgado pressed on the value. "I'm not so much in support of doing the $15,000 and getting 60 tickets per game," she said. She asked for a status check after year one without penalties. "If possible, I would like to bring it back year 2 to see if this was beneficial," said Delgado.

Staff said a recap meeting follows each season. "From staff's point of view, this is an economic development tool," said City Manager Gustavo Romo.

Decisions and stakeholder impacts: The council approved Resolution 2026-56. For: 4 (Martinez, Virgen, Delgado, Perez), Against: 1 (Figueroa), Absent: 0. Figueroa did not explain his no vote on the record. Delgado voted yes despite her concerns. Residents and youth groups stand to benefit if the tickets are distributed broadly. The general fund absorbs the unbudgeted first-year cost.

---

Opioid Settlement Cash Could Fund Mental Health Hub

Why it matters: Coachella has unused opioid settlement money that would otherwise have to be returned. Care Solace, a care coordination company, would put those dollars toward connecting residents with mental health services.

Where things stand: Anita Ward of Care Solace described a human-led coordination service that runs 24/7 in more than 200 languages. It includes a real-time dashboard and training for first responders. "There are 26,000 adults that needed mental health care last year and didn't get it," she said.

Ward stressed the service's neutrality. "We don't have a commercial relationship with providers, and I think that's really important," she said.

Figueroa asked how Care Solace would work with the Sheriff's Department and whether it offers access in Purépecha, an Indigenous language spoken in the region. Delgado spoke personally about suicide and stigma. "Absolutely, 100% do I support this," she said.

Decisions and stakeholder impacts: This was a discussion item, so the council took no vote. Romo said the program "does not cost the city from its general fund." Families seeking care and first responders who field mental health calls are the primary beneficiaries.

What's next: The city manager will bring back an agreement at the next meeting.

---

Council Declares El Niño Emergency

Why it matters: The emergency declaration positions Coachella for state disaster assistance and a coordinated response as forecasters predict heavy rain and flooding in Southern California.

Where things stand: The item came after the agenda was posted. The city attorney explained that adding it required a two-thirds finding that immediate action was needed. The council voted to add it: For: 4 (Martinez, Virgen, Delgado, Figueroa), Against: 0, Absent: 1 (Perez, who had not yet arrived).

City Clerk Delia Granados read Resolution 2026-62. It cites a National Weather Service advisory giving a greater than 90% chance of a very strong El Niño. The resolution says "there is a 75% chance of a historic event that would exceed the strength of previous El Niño events dating back to 1950." It also cites Gov. Gavin Newsom's Sept. 21 statewide emergency proclamation and Government Code sections 8630 and 8634.

Decisions and stakeholder impacts: The resolution names the city manager director of emergency services. For: 5 (Martinez, Virgen, Delgado, Perez, Figueroa), Against: 0, Absent: 0. No one spoke during public comment.

---

EV Charger Rules Adopted Under Legal Pressure

Why it matters: The city is defending a lawsuit that alleges it has not complied with state EV charger permitting law. Urgency Ordinance No. 1239 takes effect immediately.

Where things stand: Community development staff said the ordinance creates Chapter 17.120 to implement existing state requirements under AB 1236, AB 970 and Government Code 65850.7. Staff cited the pending litigation as a reason for urgency.

Applications for one to 25 chargers get a five-business-day completeness review and a 20-business-day deadline for denial. Larger projects get 10 and 40 days. Large charging stations require a minimum 3-acre lot and 200 feet of street frontage.

Decisions and stakeholder impacts: Urgency ordinances need a four-fifths vote. This one passed For: 5 (Martinez, Virgen, Delgado, Perez, Figueroa), Against: 0, Absent: 0, with no public comment. EV developers gain predictable timelines. The lot-size and frontage rules limit where large stations can go.

---

Minor Items

• Visit Greater Palm Springs: The council voted 5-0 to amend the joint powers agreement so the tourism agency can form optional regional districts, including a TBID (tourism business improvement district), for projects such as an indoor sports complex. Staff said no site has been chosen and that Coachella hopes to host.
• Consent calendar: Approved 5-0, with Virgen abstaining on Item 22. The vote finalized second readings for the kratom ordinance, a special tax and Ordinance No. 1233 on smoke-free areas. Blue Zones Project Coachella offered to buy the required signage.
• Proclamations: The council honored Lideres Campesinas youth, the 624,000-acre Chuckwalla National Monument, and YPAR with East Coachella Valley Pride, whose 10th annual festival is Oct. 24. Finance staff received a qualified GFOA budget award because performance measures lack three years of data.
• City attorney search: Molina urged the council to choose a new city attorney with no Stronghold ties, set a budget cap and announce the pick publicly. Closed session ended with no reportable action.
• Public comment rules: Resident James Rodriguez argued that new limits on profanity during public comment violate the Brown Act and the First Amendment.

---

Looking Ahead

The public hearing on the 43-acre Coachella Airport Business Park is continued to Nov. 25. Staff proposed canceling the Nov. 11 meeting in favor of a Nov. 10 special meeting, and Mayor Pro Tem Yadira Perez asked to move or cancel the Nov. 25 meeting. Romo noted "we cannot have ordinances on special meetings." Councilmembers also requested updates on unhoused services, a shade equity plan and downed streetlights.