Old Town Chi Stormwater Fee: $8-$15 Monthly Bill Increase

Old Town Chi's city council approved a stormwater runoff fee on Wednesday that will generate an estimated $4.2 million annually for flood control and drainage infrastructure. The vote passed 7-2, with council members Sarah Kwan and Marcus Rodriguez dissenting. The charge takes effect September 1 and will appear as a separate line item on residential water bills, with most households paying between $8 and $15 per month depending on the size of their property's impervious surfaces such as roofs, driveways and patios.

The new fee addresses a longstanding infrastructure gap in Old Town Chi's drainage system. The city's stormwater pipes, many installed in the 1960s and 1970s, were designed to handle rainfall volumes that climate data now shows are regularly exceeded. In June 2024, heavy rains flooded the basements of 127 homes in the Riverside neighborhood and damaged the ground floor of the Tenth Street Community Center. City staff documented more than $340,000 in property damage from that single storm event. Engineering consultants hired by the city found that upgrading the stormwater network to handle projected rainfall increases would cost approximately $18 million over the next decade.

Who Pays and What Gets Built

The stormwater fee applies to all developed properties in Old Town Chi's municipal boundaries. Commercial properties, including office buildings and shopping centers, will pay fees based on the square footage of their rooftops and parking areas. Properties designated as agricultural, such as the three farms operating in the city's outer district, are exempt. Nonprofit organizations including schools, churches and hospitals will receive a 50 percent discount. A household with a typical 2,000-square-foot footprint and average driveway will pay approximately $10 monthly, while owners of larger properties or those with additional paved surfaces will pay more.

The council designated the first year's revenue, roughly $4.2 million, for three primary projects. The city plans to replace 3.2 kilometers of failing stormwater pipe in the Riverside and Morrison Park neighborhoods, where flooding has recurred in at least four of the past ten years. The council also approved funding for installation of 18 rain gardens and bioswales along city streets to absorb runoff before it reaches underground pipes. These planted areas, which slow water flow and filter pollutants, are expected to reduce the volume of stormwater entering the pipe system by 12 to 18 percent, according to preliminary modeling by the city's public works department.

Implementation Timeline and Future Funding

Utility billing staff will begin processing the new charges in August, with the first bills arriving in households' September statements. The city has established an online portal where residents can calculate their estimated monthly charge based on their property address and lot size. Households with demonstrated financial hardship can apply for a fee waiver through the city's Office of Economic Assistance; applications open August 15. During public comment at Wednesday's meeting, policy advocates noted that low-income residents in flood-prone areas have historically borne disproportionate repair costs, making the state subsidy particularly significant for families in Riverside.

The council approved the fee as a permanent mechanism rather than a time-limited measure, meaning it will continue indefinitely unless a future council votes to repeal or reduce it. City staff project that the fee alone will cover approximately 25 percent of the total $18 million needed for full system modernization. The council has not yet identified funding sources for the remaining 75 percent, though staff indicated they will pursue state and federal grants and may consider issuing municipal bonds in 2027 if grant applications succeed.