“The City Council last year passed a resolution creating a reserve fund policy, and that policy was ultimately to restore the rainy-day fund and reserves of the city so that we can be in healthier financial condition, and that was a component of our long-term fiscal recovery,” City Manager Jack Schnirman said. “This is considered a fiscal best practice, and enables the city to rebuild and maintain the rainy-day fund. Now, upon recommendation from the … office of the state comptroller, we see an amendment to the city charter that will help enable creating that rainy-day fund.”

Schnirman said that fee increases had been discussed during two budget hearings, when council members requested that officials take steps to ease the burden on residents who remain displaced by Sandy.

Residential sanitation rates are currently $475, and will increase to $575 effective July 1, half of which will appear on residents’ bills in July and the other in January 2015. Commercial sanitation rates, meanwhile, will increase $26, to $131 per quarter.

“Residential sanitation rates … were last updated in 2010,” Schnirman said, adding that the new fee equates to a $25-per-year increase. “The city tends to update these fees every few years. It’s important to note that at the request of the City Council during budget hearings, for those that remain displaced from their homes, there actually will be an application process where folks can apply for a waiver, and they do not have to pay that increase this year. So if you’re not in your home, your rates do not necessarily have to go up.”

Schnirman said that the new rates are in line with East Atlantic Beach and Lido Beach, and “we are still approximately half the fee in Oceanside.”

New water rates, which also take effect July 1 but will not appear on residents’ bills until October, will increase the charge for each 1,000 gallons over 12,000 by $4.29 for residents who use between 12,000 and 150,000 gallons.

However, Schnirman said that 52 percent of Long Beach residents, who use the minimum amount, under 12,000 gallons, will not see an increase.