Turn off your sink: City council approves plan to raise water bill rates and fees

TUCSON, Ariz. (KGUN) — Tucson City Council approved a proposal with a 6-0 vote Tuesday night to increase the water supply fee from $1 per 100-cubic-feet of water to $1.25.

The ordinance amends certain sections of Chapter 27 of the Tucson Code (which governs water rates and charges) in order to update the rates for commercial and industrial customers based on Tucson Water's updated FY2025-29 Financial Plan.

There will be an increase in the water supply fee (the charge applied to customers based on how much water they use). Specifically:

• $1.25 per CCF for nondifferential customers (standard customers).
• $1.10 per CCF for differential customers (those who receive special rates, like low-income or other specific classifications).
• This fee is in addition to the regular service charge and water use charges.

The ordinance lays out the rate schedule for residential, commercial and industrial customers for the upcoming years.
The increase in rates covers the city's cost to buy water from the Central Arizona Project (CAP). City leaders who back this idea say a 25-cent increase now and another in 2027 will help them keep pace with the rising price of CAP water.

“We’re really adjusting to the baseline cost required to purchase CAP water and other water supplies, especially as we prepare for future water supply challenges ahead of Colorado River consultations,” said Zach Yentzer, Vice President of Business Advocacy at the Tucson Metro Chamber, who spoke at the meeting.

According to the City of Tucson, approximately 80% of single-family households use an average of 1,000 cubic feet of water each month — about 7,480 gallons. For these homes, the new water supply fee will increase monthly water bills by approximately $2.50.

Looking ahead, the water fee is expected to increase by another 25 cents toward 2028.

While the increase may seem small, Yentzer notes that constant water rate hikes can have a long-term impact.

“Constant increases to water costs, as necessary as they may feel to be, can negatively impact our region’s economic competitiveness,” said Yentzer.

For buildings with higher water usage, such as HUD-funded apartments providing housing for low-income seniors, the increase can be more significant.

"We must also pay all utilities, including those used by the residents, as this is part of what helps to keep these apartments affordable. HUD also requires us to set aside money each year in preparation for infrastructure replacement," said Colette Altaffer who spoke on behalf of the board of Strauss Manor.

"That amount is limited to just $22,300 per year," Altaffer added. "We rely heavily on the generosity of our donors within the city to try and close this funding gap, but we also must make every effort to keep our costs down."

To view the full ordinance, click here.