A Message from Cerritos Mayor Frank Yokoyama

September 5, 2025

By Cerritos Mayor Frank Aurelio Yokoyama

The City of Cerritos routinely explores how to judicially use our resources to bring you quality services. During the Fiscal Year 2025-2026 budget process and approval in June, the City Council acknowledged constraints largely driven by broader economic headwinds, which led to significant cost saving measures to accommodate impacts and short-term needs. Meanwhile, we remain committed to continually exploring long-term budget needs as part of the City’s Strategic Goal 6: Focus on Fiscal Transparency and Sustainability.  

As I shared at the State of the City in late June, a key initiative to support financial sustainability is the implementation of water and sewer rate studies. These studies and potential rate adjustment schedules were discussed at our July 28 and August 28 City Council meetings. We have more meetings upcoming on this important topic before any actions are finalized, and we encourage your feedback. 

This work is in response to previous direction to more closely align water and sewer operation costs with expenses. To sustain these services, the City has for years been subsidizing its Water and Sewer Enterprise Funds with revenue from its General Fund. While subsidies have helped keep resident rates unusually low, they have also placed increasing strain on the General Fund, limiting how much we can spend to repair streets, maintain parks, and enhance community services.

The water and sewer funding scenarios under consideration by the City Council would gradually phase out General Fund subsidies over the next five years, putting water and sewer services on a path to long-term financial sustainability.

The Council will determine whether to recommend rate increases upon receipt of the final water and sewer rate studies at its October 27 meeting. Potential rate increases are subject to approval by residents as part of California’s Proposition 218 process. If approved, rate increases would be phased in over a five-year period beginning in February 2026.

Beginning this weekend, a series of informational sessions are planned for residents to learn more about the state of our water and sewer infrastructure, and impact from the potential rate increases. To ensure space accommodations and maintain a conversational format, seating is limited to 30 people per session. Meetings will take place at our Corporate Yard facility on Friday, September 5, at 2 p.m. and Saturday, September 6, at 10 a.m. Another meeting is planned at the Cerritos Senior Center on Tuesday, September 9, at 10 a.m. RSVP by calling the Public Works Department at (562) 916-1220.

More information about the City’s water and sewer rate considerations, including background on this topic and important upcoming dates, can be found at cerritos.gov/waterrates. We appreciate your engagement on this important topic as we work toward strengthening fiscal transparency and sustainability for the City of Cerritos.