City of Phoenix Water Services Department: Proposed Water Rate Increase

Background:

  • The City of Phoenix Water Services Department is recommending a 6% percent water rate increase in 2019 and a 6% water rate increase for 2020.
    • There is no proposed sewer rate increase.
  • This rate roughly translates into a monthly increase of $2.35 in 2019 and an additional monthly increase of $2.29 in 2020 for the average residential water customer.
  • The City of Phoenix cares about the affordability of its water for those that are economically disadvantaged.  Phoenix water rates contain a generous “allowance” of water that is included each month in the fixed charge.  For those that keep their water consumption within this allowance, average monthly bills will increase by only approximately $1 per month in 2019 and by an additional 75¢ per month in 2020.  Phoenix water bills rank as among the most affordable in the country.*
  • These recommendations will go to the Phoenix City Council for a vote on Wednesday, December 12, 2018. If approved, the rates will go into effect February 4, 2019.

Why is the Water Services Department recommending this rate increase?

Drought & Shortage on the Colorado River:

  • With shortages looming on the Colorado River, we must build the infrastructure needed to pump and move alternative water supplies to portions of our distribution system normally served with Colorado River water.

Rehabilitation & Replacement of Aging Infrastructure

  • Although people think of Phoenix as a young city, its water utility has been in operation for more than 110 years. Our water infrastructure is aging, with some pipes as old as 100 years, still servicing residents. Our water infrastructure consists of:
    • 7,000 miles of water pipelines and 450,000 service lines
    • 5 large surface water treatment plants
    • 160,000 valves
    • Hundreds of pump stations, wells, tanks, and reservoirs
    • 50,000 fire hydrants.
  • To ensure reliable deliveries of clean, safe water to our community, we must continue to invest in the replacement and rehabilitation of aging infrastructure.

How can Phoenix residents find out more information about the proposed rate increase?

  • In October and November, Phoenix Water will be hosting several open houses to provide information and garner comments from public. City staff will be on hand at the open houses to provide information on the city’s rate setting process, including how the department will use these additional funds.
  • Interested residents can get details on how to sign up for the open houses by either visiting www.phoenix.gov/water and clicking on the tab “Water Rates” or emailing watersmart@phoenix.gov.