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CITY OF MANZANITA WATER UTILITY FUND PAYMENTS CONTINUED DESPITE NO CITY MANAGER; ELECTION, NEW COUNCIL MEMBERS, NEW CITY MANAGER PROVIDE OPPORTUNITY FOR TRANSPARENCY

Posted on October 23, 2026 by Editor

 

By Randy Kugler

For several years now, the City of Manzanita has told us how vital it is to use Water Utility revenue to pay for the time that City Hall staff are devoting to administer water utility operations. The indirect cost methodology adopted by the City claims that 30% of the City Manager’s time is devoted to these tasks and the Water Utility Fund needs to reimburse that position for the full 12 months of  the Budget year for this administrative effort.  Approximately 30% of the past City Manager’s annual salary and benefits was being paid out of the $214,020 total that was transferred out of the Water Utility Fund to the General Fund last fiscal year.

The last two months of the last fiscal year (May and June), the City Manager’s position was vacant. Surprisingly, that didn’t stop the Water Utility indirect cost payments from continuing to flow into the General Fund. Don’t ask City officials where that 2 months of water revenue designated for the reimbursement of the City Manager’s time went once it was transferred to the General Fund as they have no idea. What is known is that it  didn’t go to reimburse the City Manager’s time in managing our water utility during May and June.

After this election we will have 2 new Councilors and a new Mayor that have been saying encouraging things about transparency. Add in a new City Manager that hopefully can explain in common sense terms just how much time she is actually spending in managing our water utility.
Citizens have clearly spoken that they would prefer to see more of their monthly fees remain in the Water Utility Fund to operate, maintain and improve the system rather than be transferred to the General Fund for expenses that defy any credible explanation. The City claims more funds are needed to upgrade aging water infrastructure and to build a system that can survive a natural disaster. Seems like good timing for a new administration to show that they are listening to residents and secure the elusive transparency that has been missing on this issue over the past several years.
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Catherine

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