Council to take action adopting by motion a Notice of Intention to Adopt New or Increased Water and Wastewater Rates, Rate Components, Fees or Service Charges and setting a public hearing date of Apri

5.D
CITY OF BUCKEYE
Regular Council Meeting
COUNCIL ACTION REPORT
MEETING DATE: 02/03/26
AGENDA ITEM: 5.D. WR - Notice of
Intention to Adopt New or Increased
Water and Wastewater Rates, Rate
Components, Fees or Service Charges
and Set a Public Hearing
DATE PREPARED: 02/03/26
DISTRICT NO.:
STAFF LIAISON: Terry Lowe, Water Resources Director, tlowe@buckeyeaz.gov,
(623) 349-6102
DEPARTMENT: Water Resources
AGENDA ITEM TYPE: Public Hearing
and Non Consent - New Business Items
ACTION/MOTION: (This language identifies the formal motion to be made by the Council) 
Council to take action adopting by motion a Notice of Intention to Adopt New or Increased Water and
Wastewater Rates, Rate Components, Fees or Service Charges and setting a public hearing date of
April 7, 2026.
SUMMARY
PROJECT DESCRIPTION:
In June 2025, Council established the 2025 Citizen Water and Wastewater Rates Committee (WRC) to
evaluate the Water Resources Department (WRD) budget, operations, and rate study previously
conducted by the Finance Department and a third-party consultant. On October 9, 2025, the WRC voted
unanimously to recommend Council adopt the Gradualism Rate Scenario for a five-year rate plan. From
October 2025 to January 2025, WRD received comments from the public through public outreach
meetings, social media, a dedicated email inbox, and telephone. As a result of public feedback, WRD, in
collaboration with the Finance Department, has further refined the Gradualism Rate Scenario with a
recommended four-year rate plan.  A Council work session was held on January 20, 2026.
The final recommendations aim to right-size the rate structures, establish a reliable rate cycle, and
implement rates that support healthy water and wastewater enterprise funds without creating too great a
burden for customers. The 2025 Water and Wastewater Rate Study Report details these final
recommendations. In 2020 City Council adopted the $3.05 Repair and Replacement Fee for the
purposes of supporting the Water Resource Department’s (WRD) Asset Management activities. Prior to
that action, the last water and wastewater increases were adopted by Council in March 2015 under
Resolution No. 14-15, with the final increases taking effect on January 1, 2016.
A notice of intention must be adopted by motion at a regular council meeting held at least sixty days
before the public hearing on the Charges.  A copy of the notice of intention must be published in a
newspaper of general circulation within City boundaries at least twenty days before the public hearing
date.  A written report or supply data supporting the Charges must be made available to the public by
filing a copy in the office of the City Clerk and by posting to the City's website at least thirty days before
the public hearing date.
The Notice of Intention sets a public hearing date of April 7, 2026, which is more than sixty days away, to
be held at a regular meeting of the City Council in the City Council Chambers, 530 East Monroe Avenue,
Buckeye, Arizona 85326.  If approved by the Mayor and Council, the Charges will become effective on
May 7, 2026.
BENEFITS:

Ensuring continued and reliable water and wastewater services by stabilizing both enterprise funds.
FUTURE ACTION:
The notice of intention will set a public hearing for the proposed utility rate increases on April 7th.  The
public hearing will be followed by potential Council action to adopt the new rate plan.  The new rates
would then go into effect on the utility bills beginning May 13th.  As proposed, there will be additional rate
increases on January 1, 2027, January 1, 2028, and January 1, 2029.
FINANCIAL IMPACT STATEMENT:
This action sets the date for a future public hearing and does not have a financial impact at this time. 
The recommendations will increase overall Water utility revenues by 4.5% and Wastewater utility
revenues by 7.0% each year throughout the four-year rate plan.
CURRENT FISCAL YEAR TOTAL COST:
None.
Items related to a project or facility location must include an attached vicinity map for Council
Review.
ATTACHMENTS:
NOI.attachment.pdf
02032026 V2 Presentation WR.pdf