Water and Sewer Rate Increases
8% FY27 and 5% FY28 rate hikes plus new quarterly fees increase costs for all customers amid broader utility pressures.
At the 2026-06-02 city-council meeting the Mayor proposed water and sewer rate increases of 8% in FY27 and 5% in FY28 along with new quarterly fees to address MWRA costs, a major water rights purchase, and infrastructure demands. Council approved most elements by the exact tallies 5-0, 8-2, and 7-3 but rejected repeal of the early payment discount 4-6. The changes are now being drafted and advertised.
The water and sewer rate increases were proposed by the Mayor at the city-council meeting on 2026-06-02 in response to drought-driven purchases from the MWRA and the $25 million acquisition of Russo water rights.
Finance Director data presented at the same meeting highlighted debt service obligations and ongoing infrastructure needs as additional drivers for adjusting rates in the enterprise fund.
The proposal included an 8% increase for FY27, a 5% increase for FY28, new quarterly administrative fees of $25 residential and $50 commercial, and removal of the 10% early payment discount.
Councilors raised concerns about the cumulative burden on ratepayers when combined with other fees and whether the sustained 5% annual increases would outpace inflation.
The administrative fee was positioned as a measure to stabilize the enterprise fund while the early payment discount repeal was debated on grounds of fairness to existing payers.
Votes on the components produced the following exact tallies: 8% FY27 increase approved 5-0; single 5% FY28 increase approved 8-2; quarterly administrative fees approved 7-3; repeal of the 10% early payment discount failed 4-6.
Approved elements are now being drafted and advertised following the meeting.
Approved components drafted and advertised.
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