First reading of city water, sewer rate increases Thursday

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  • (ARCHIVE PHOTO | THE GRAHAM LEADER) The Graham City Council will be considering a first reading of an ordinance that will increase water and sewer rates during their meeting Thursday, May 14. The city council will also consider setting a public hearing for the increase for Tuesday, June 9.
    (ARCHIVE PHOTO | THE GRAHAM LEADER) The Graham City Council will be considering a first reading of an ordinance that will increase water and sewer rates during their meeting Thursday, May 14. The city council will also consider setting a public hearing for the increase for Tuesday, June 9.
  • (ARCHIVE PHOTO | THE GRAHAM LEADER) City Manager Eric Garretty speaks to the Graham City Council during a budget workshop held Aug. 7, 2025. A third reading of an ordinance raising the water and sewer rates was adopted by the city council during that meeting which went into effect in October 2025.
    (ARCHIVE PHOTO | THE GRAHAM LEADER) City Manager Eric Garretty speaks to the Graham City Council during a budget workshop held Aug. 7, 2025. A third reading of an ordinance raising the water and sewer rates was adopted by the city council during that meeting which went into effect in October 2025.

Following approved increases implemented in October 2025, the Graham City Council will consider a first reading this week for additional raises to both the water and sewer rates.

The city council will meet Thursday, May 14 to consider an ordinance amendment to add a 7% increase to base and volumetric water service charges and a 3% increase in sewer volumetric charges beginning with the Thursday, Oct. 15 billing cycle.

During the same meeting, the city council will consider setting a public hearing at 6 p.m. Tuesday, June 9 to receive public comments on the ordinance which proposes increases to the water and sewer base rate and volumetric charges.

If approved by the city council, the public hearing June 9 will also serve as a special-called council meeting to serve as a budget workshop for development of the 2026-2027 annual budget.

Last month, the city council approved contracting with Willdan Financial Services for a water and sewer rate study to determine a rate needed for future debt payments, studying the outside of the city rates and causes of decreases in revenue.

“Let’s look at three things that are very important. How much we need to increase the sewer rate to cover the debt. (We need to) take a look at the outside the city water rates to be compliant with Texas law. And then the third one is to see if they can come up with a different answer on why we’re not getting this much from the water revenue,” City Manager Eric Garretty said.

The first task will seek to validate a base rate increase to service the city’s anticipated debt payment for the wastewater treatment plant renovation project. The city manager previously gave estimates for this amount for phase one of the project.

“I’ve been saying we are probably going to increase the sewer base rate somewhere between $20-25. In order to do that, we need to have it validated by people who are experts,” Garretty said. “They’re going to look at our past history. …They’re going to come up with an exact figure that we’re going to need to raise the sewer rate in order to service the debt.”

In October 2025, the city implemented new 7% increases to water and sewer rates after adoption  by the Graham City Council in August 2025. 

The rate increase came following a 2024 water rate study that recommended a 7% per year increase in the rates through 2029.

When the council approved rate increases in August 2025, residents spoke out during the public hearing with one resident asking the justification for pushing the rate increases through 2029 as recommended by the 2024 rate study.

“It takes us until 2029 before we’re not having to use savings, that cash reserve, to be able to balance revenues and expenses of the water fund,” Garretty said during the hearing. “That’s based on those projected revenues and projected expenses. We’re trying to do better planning.” 

The water and sewer funds are enterprise funds for the city that are supported solely by the rates that are charged for those services.”

Council Member Jeff Dickinson spoke in August during the public hearing and said that the city needs to make water a top priority.

“We’re not here without a water supply. I don’t know how we rationalize that against the police force, the fire department, everything else that we enjoy in this community, but water is absolutely essential to sustaining any community, and our infrastructure is poor, it’s been neglected,” he said.