Attachment 5: Utility Whitepaper

City of Chandler’s Proposed Utility Rate Changes
(Proposed Effective Date 1/4/27)
The City of Chandler manages and operates Water, Wastewater, Reclaimed Water and Solid Waste utilities for
its customers. While no one likes increases in utility rates, from time-to-time rate changes are necessary to
ensure the utility funds continue to cover their costs. Chandler projects needed rate increases to fund
operating cost increases (including chemicals and electricity), debt service costs related to Water and
Wastewater capital projects that serve all customers and ensure safe reliable systems, and contractual
operating costs for our solid waste utility.
Chandler’s utility projections show revenue increases needed in January 2027 for Water (+9%), Wastewater
(+6.5%), Reclaimed Water (+9%) and Solid Waste (+4.5%). If approved, these utility rate increases will be
implemented “Across the Board”, so each customer class (single family, multi-family, landscape water usage,
industrial, and other non-residential) would see the same increase.
A list of the proposed rate changes and average monthly bill impacts per customer class are shown below for
each of the Utilities and Classifications.
City of Chandler’s Proposed Utility Rate Changes
(Effective 1/4/27)
Water Jan-27 Wastewater Jan-27
Residential % (i.e. single family homes) 9.00% Residential % 6.50%
Multifamily % (i.e. duplex, triplex, condos, apartment complex 9.00% Multifamily % 6.50%
Non-Residential % (i.e. business, school, hospital, church) 9.00% Non-Residential % Volumetric 6.50%
Landscape % (i.e. parks, golf courses, HOAs) 9.00% Industrial % Volumetric 6.50%
Industrial % (i.e. manufacturing, dist. centers, lg warehouse) 9.00% Overall Wastewater Revenue Increase Needed 6.50%
Overall Water Revenue Increase Needed 9.00%
Reclaimed Water Jan-27 Solid Waste Jan-27
Reclaimed Water % 9.00% Residential % 4.50%
*The impact of rate changes for each individual customer will depend on the volume of water used, amount of wastewater
processed each month and/or meter size used.
Additional information on these rate adjustments is available on the City’s website at
chandleraz.gov/ProposedUtilityRates.