Attachment 2 Utility Rate Change White Paper

City of Chandler’s Proposed Utility Rate Changes
(Effective 3/2/26)
The City of Chandler manages and operates Water, Wastewater, Reclaimed Water and Solid Waste utilities for its
customers.  Of course no one likes increases in utility rates, but from time-to-time, rate changes are necessary to
ensure the utility funds continue to cover their costs.  Chandler is currently projecting needed rate increases to fund
debt service costs related to new and expanded Water and Wastewater capital projects that serve everyone in
Chandler and are needed as infrastructure ages to ensure safe systems. Additionally, these added funds would help
cover increased ongoing operating costs (including chemicals and electricity) and contractual operating costs for our
solid waste utility.
Chandler’s utility projections show revenue increases needed by March 2, 2026 (Water +15%, Wastewater +15%,
Reclaimed Water +18% and Solid Waste +6%).  These anticipated utility rate increases will be implemented “Across
the Board”.  For example, as revenue increases of 15% are needed for the water system, the rates would go up 15%
for each customer class (single family homes, multi-family units, landscape water usage, industrial, and other non-
residential uses of water).   For financial cash flow forecasts, reference the FY 2025-26 Budget Book Executive
Summary.
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 3/2/26)
The impact of the 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.
Detailed 
information 
on 
these 
rate 
adjustments 
is 
available 
on 
the 
City’s 
website 
at
chandleraz.gov/ProposedUtilityRates.