The St. Helena City Council heard concerns Tuesday that a proposed moratorium on new sewer hook-ups could cause sewer rates to double. During the public meeting, developers and community members urged the council not to adopt the measure.

Karen Scalabrini, city finance director, told the council that by eliminating the impact fees the city receives from new developments — $103,000 was generated last year — a moratorium would place “a very, very large burden” on local ratepayers to finance the needed improvements at the wastewater treatment plant.

Single-family home owners who will be paying $72.30 bi-monthly starting July 1 might have to pay double that amount for the city to make its annual bond payments.

A moratorium could also send the message that St. Helena is a “no-growth community,” causing interest rates on bonds to increase, Scalabrini added.

Council support for a moratorium has intensified since the California Regional Water Quality Control Board warned the city its wastewater treatment plant was dangerously close to exceeding its permitted capacity. The board encouraged the city to implement a long-term plan to increase the system’s capacity.

Steve Goldfarb, the owner of Anomaly Vineyards, said a moratorium would only exacerbate the city’s problems. His concerns were echoed by several other speakers.

“You’ll spend more money fighting litigation than it’s going to cost you to cover the bonds you’ll ultimately have to sell,” Goldfarb told the council. “You’ll be viewed as a community that is anti-growth and anti-affordable housing.”

A moratorium would encourage larger, more expensive housing projects outside of city limits at the expense of affordable housing projects, he said.

Councilmember Eric Sklar said that while he backs a moratorium, he believes affordable housing should be exempt.

With Councilmember Bonnie Schoch absent, the council was divided on whether a moratorium is the best solution to the city’s sewer problems. Sklar and Mayor Del Britton spoke in favor, while Councilmembers Joe Potter and Michael Novak said the city should look for more creative solutions.

“The moratorium is a fall-back position to give us time to make (the improvements) happen,” said Britton.

At the council’s Feb. 27 meeting, Schoch spoke in favor of a moratorium, indicating the council might have the three votes necessary to pass it.