Public hearing next week on proposed city rate increases

The public will have an opportunity next week to provide their comments regarding proposed water and sewer rate increases from the city of Graham.

A public hearing on the proposed water and sewer rate increases will be held at 8:30 a.m. Thursday, July 31 at 608 Elm St. A second reading on the tax rate and budget ordinances are also scheduled to be held with this regular city council meeting.

“If this ordinance (for the water and sewer rate increases) is not ultimately adopted, the impact is that the city will be forced to delay infrastructure replacement, will be unable to retain qualified operators to maintain the system, and will be unable to conduct required maintenance of the system,” City Manager Eric Garretty said during the July 17 meeting.

Two of three readings of an ordinance to increase the water and sewer rates by 7% for the in-progress fiscal year budget have been passed by the Graham City Council. Those readings were passed during city council meetings Thursday, June 26 and Thursday, July 17.

“The city manager has proposed, as part of the fiscal year 2025-2026 budget development process, a 7% increase to water and sewer rates,” Garretty said in the June meeting. “This increase is based on both the recommendation of the 2024 water and sewer rate study and an analysis of the financial needs of the city’s water and sewer system.”

Base meter and water volume charges are increasing by 7% across the board for both residential and commercial customers both inside and outside the city limits.

Residential sewer rates would increase to $35.05 per month for the first 2,000 gallons of water used, plus $2.89 for each additional 1,000 gallons of water used. The maximum charge will not exceed $38.13 per month. 

Commercial sewer rates would increase to $30.05 per month for the first 2,000 gallons of water used, plus $2.89 for each additional 1,000 gallons of water used. There is no set maximum monthly charge for the commercial class.

For commercial and residential customers without history, they will be charged $34.09 per month until a usage history is established.

The proposed budget was presented to the city council at the July 17 meeting. After being presented, the city council may amend the proposed budget at any public meeting prior to the adoption of the budget by ordinance.

A proposed increase to the property tax rate was also approved for a first reading during the July 17 meeting. The proposed rate is $0.69 per $100 valuation, an increase of $0.035 from the current tax rate.

More on the proposed rate increases can be found here.