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Utility Rates

Tempe council approves increased rates for solid waste, wastewater, water

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Tempe City Council recently voted on several resolutions to increase rates residents pay for solid waste, water and wastewater services.

The average Tempe single-family residential customer who receives water, wastewater and solid waste services is expected to experience an increase of about $7.87 a month in their monthly utility bill.

These changes will bring about $750,000 for solid waste, $5.9 million for wastewater and $7.7 million for water to ensure the financial stability of each utility, city officials said. 

Council considered the resolutions for each department during its Feb. 20 meeting, where the mayor and council members unanimously voted to approve each change. No public comments were received for any of the items.

Tempe approved its notice of intent to raise the utility rates at its Dec. 19, 2024, meeting. An internal study by the city showed that “additional funding is necessary for the financial stability of those departments.”

Public Works Business Manager Stephen White wrote in several city staff reports the department conducted an evaluation of revenue and expenses, determining additional funding was necessary in 2025 and going forward to ensure financial stability of the city’s solid waste, water and wastewater services.

“This additional funding will be realized through collection of revenue utilizing appropriately set user charges, rates, fees and deposits,” White stated.

He continued that funding generated would be used for capital improvement projects to ensure continued compliance with regulatory requirements, maintain sufficient operational budget and make sure there is an appropriate fund balance at the policy level.

Looking at each utility, single-family residential customers with a 5/8-inch water meter and using 8,000 gallons of water each month can expect an increase of $2.43 in their monthly water bill.

A typical single-family residential customer with a 5/8-inch water meter and producing 6,400 gallons of wastewater monthly should experience an increase of $4.26 a month, and for solid waste, a typical residential customer will have an increase of $1.18 each month.

Now adopted by city council, the resolution will adjust the rates for solid waste, water and wastewater services beginning April 1.

Please send your comments to AzOpinions@iniusa.org. We are committed to publishing a wide variety of reader opinions, as long as they meet our Civility Guidelines. Reporter Caroline Yu can be reached at cyu@iniusa.org

Tempe City Council, utilities, rate increase, solid waste, wastewater, water

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