Utility Rate Study Overview
The City completed a comprehensive Utility Rate Study that began in Fall 2025 and was approved by the City Council on April 28, 2026.
Utility rate studies help ensure the City’s water, sanitary sewer, and stormwater systems remain reliable, sustainable, and fairly funded over time.
Why we complete rate studies:
Ensure utility revenues cover operating costs, maintenance, debt, and infrastructure replacement
Keep utilities self-supporting without relying on taxes
Maintain safe, reliable service for residents and businesses
Plan for future system needs and community growth
Benefits to customers:
More stable and predictable utility bills over time
Fair and equitable cost distribution among users
Reduced likelihood of large, unexpected rate increases
Continued investment in infrastructure to avoid service disruptions
How often studies are completed:
Full rate studies are typically completed every 5 years
Costs, usage, and system needs are reviewed annually
Regular reviews allow the City to make smaller, more gradual adjustments and maintain long-term financial health while continuing to provide high-quality utility services.
2026 Utility Rates
Based on the results of this study, the following utility rates are effective for usage commencing on May 1, 2026.
Sewer
1. Residential property owners will have their sewer consumption set at their winter usage known as “winter averaging.”
2. For residential property owners with no winter water usage, the winter average would be based on the lesser of the City's residential average water consumption of 5,000 gallons or the average water consumption from the months directly before departure and after a return.
3. New residential property owners would have their winter average set at the City’s residential average water consumption of 5,000 gallons per monthly billing cycle until they are able to establish a winter average amount. For 2026, new owners would have their sewer capped at $41.80 per billing cycle.
Storm Water
Water
1. Fixed Charges. Monthly base charges by meter size for system readiness and fixed costs.
The annual charge for state-mandated water testing fees per connection is $15.24 per year. The monthly equivalent is $1.27 per connection. This charge is in addition to the monthly basic charge.
2. Volumetric Charges. Charges based on the amount of water used, structured in tiers to promote conservation and reflect increasing demand on the system.
3. Manual Meter Read Fee. The City utilizes Advanced Metering Infrastructure technology (AMI). AMI allows the City to automatically collect consumption data from water meters and transfer that data to a central database for billing and analysis. Customers who choose not to use this technology will be charged $75 per billing cycle; this fee will cover the additional costs of obtaining the manual meter reading and updating the utility billing software.
4. Water Turn On/Shut Off Fee. Customers who request to have their water turned on or shut off during the year will be charged a $75 fee if completed during regular business hours and $100 after hours. Water turn-on and shut-off requests will be completed at the discretion of the Public Works Director.
Billing Cycle
a) All properties will be billed monthly.
b) All payments shall be due on the 1st day of the month following billing.
Penalties
A late charge of 5% will be applied to the outstanding balance of any bill not paid by the due date. This charge will be assessed monthly, or for any portion of a month, on the total arrears.
Customers are eligible for a one-time forgiveness of the late fee within a two-year rolling period. This means that one late fee can be waived every two years upon request, providing some flexibility in case of an occasional missed payment.
Land Use/Billing Categories
City Staff is directed to review and identify the appropriate land use and billing categories for all property within the City. The billing category shall coincide with the actual use of the property.
Correction of Customer Overcharges and Undercharges
a) Adjustments. When a determination is made that a customer’s utility account has been overcharged or undercharged for utility services (because of inaccurate metering, clerical errors, or other unintentional causes), the error shall be remedied as promptly as possible. An adjustment shall be made for the dollar amount of the overcharge or undercharge for the period that the erroneous charges occurred,
b) Refund for overcharge. When a customer has been overcharged, the overpaid amount shall be refunded to the customer by the City within sixty days of calculating the amount of overcharge, or a credit may be placed on the current bill at the customer's request.
c) Collection of undercharges. When a customer has been undercharged, the customer shall be promptly notified of the cause and amount of the adjustment, and the undercharged amount shall be added to the customer’s utility bills (whether or not those bills are for the same property on which the undercharge occurred); at the discretion of the City, the undercharged amount may be paid to the City, without interest or penalties, up to a maximum period of twelve months, beginning with the next billing after the notification.
Delinquent Accounts & Certification
Unpaid utility balances may be certified to property taxes in accordance with City policy. This means past due amounts are added to the property’s tax statement and collected by the County. The City provides notice prior to certification. Once certified, the balance must be paid through property taxes and is no longer payable through utility billing. Accounts that get certified to property taxes are subject to a $75 certification fee.