Conroe adjusts water rates increasing bills for single family and commercial users

During the recent City Council workshop held on May 22, 2025, in Montgomery, Texas, officials discussed proposed adjustments to water and sewer rates that could significantly impact residents and businesses alike. The proposed changes aim to address the city's growing infrastructure needs and ensure sustainable utility services.

One of the key highlights from the meeting was the recommendation to shift a larger portion of the rate increase from single-family homes to commercial and multifamily users. This adjustment is expected to generate approximately $11 million in additional revenue, which is crucial for funding necessary infrastructure improvements. For single-family homes, the average monthly bill would rise from $52.62 to $63.07, reflecting an increase of about $10.45. In contrast, commercial users could see an average increase of around $267, while multifamily properties may face an increase of approximately $63.

City officials noted that these adjustments are in line with rates charged by neighboring cities, ensuring that Montgomery remains competitive while addressing its financial needs. The last rate increase for water and sewer services occurred in 2018, making this proposed change a significant step in maintaining the city's utility infrastructure.

In addition to the rate discussions, the council reviewed options for financing future projects, including potential borrowing terms of 20 and 30 years. The city has experienced a remarkable 46% growth in assessed valuation over the past decade, which could support future funding initiatives. However, the council emphasized the importance of planning for both scenarios of no growth and moderate growth in assessed valuations.

As the city moves forward, these proposed rate changes and financing strategies will play a crucial role in ensuring that Montgomery can meet the demands of its growing population while maintaining high-quality utility services. The council plans to continue discussions and gather community feedback before finalizing any decisions.