City Council Freezes Water, Sewer Rates in 2027 Downtown Budget

The Downtown Core City Council voted 8 to 3 on July 7 to freeze water and sewer rates through the 2027 fiscal year as part of the annual budget approval. The action prevents scheduled increases that would have raised the average residential bill by 4.5 percent starting in January. Property owners and renters in the central wards receive the direct benefit through unchanged monthly utility statements issued by the municipal services department.

Background on the Budget Decision

Council members reviewed the 2026 budget papers during the meeting, which projected a $12 million shortfall in the water fund due to infrastructure repairs completed last year on the main treatment plant along River Street. The freeze replaces an earlier proposal that called for phased rate hikes over three years. Local advocates note that the vote aligns with similar actions taken by neighboring municipalities in the region during their spring budget cycles.

The policy applies to all metered residential accounts within the city limits, including multifamily buildings where charges pass through to tenants via lease agreements. It does not cover commercial or industrial users, who remain subject to separate rate schedules outlined in the same budget document.

Effects on Household Costs

For a typical two-person household using 5,000 gallons of water per month, the freeze keeps the combined water and sewer charge at $68.40. The city's 2025 utility report recorded 42,000 residential accounts, meaning the decision covers the majority of occupied housing units in the Downtown Core area. Residents who received notices of the planned increase in May can now expect their January statements to reflect the same amounts as this December.

The legislation states that the rate cap expires on December 31, 2027, after which the council will revisit the water fund balance during the next budget cycle. City staff project that the measure will reduce revenue by $2.8 million compared with the original proposal, a figure drawn directly from the amended budget worksheet presented at the meeting.

Implementation begins with the January billing cycle, and the municipal services department will issue updated account statements by the end of December. Residents can review their individual usage data through the city's online portal to confirm no rate change appears on their records.