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City adopts 5% increases to water, wastewater and sanitation rates; manager warns PFAS costs could push future hikes
Summary
The City Council voted to raise monthly water, irrigation and wastewater rates and solid‑waste collection charges by 5%, effective Oct. 1, 2025, to cover capital work and pass‑through cost increases; staff warned future PFAS treatment costs could require larger increases.
The City Council approved separate resolutions to increase monthly rates for water, irrigation and wastewater services by 5% and to raise residential solid‑waste and recycling collection rates by 5%, both effective Oct. 1, 2025.
City Manager Carlos Bahia and Finance Director John Ingram said the water/wastewater increase is intended to cover about $3.8 million of planned FY2026 infrastructure improvements, fund an additional meter technician, and absorb a 3% pass‑through wastewater increase from the City of Tampa. Ingram presented a sample residential bill for an average household (5,000 gallons water/wastewater and 3,000 gallons irrigation) and showed Temple Terrace’s combined charge (without a stormwater fee) compares with neighboring jurisdictions; staff noted many nearby jurisdictions assess a separate stormwater fee, which Temple Terrace does not.
In response to questions, staff explained why Temple Terrace’s wastewater charge is higher than Tampa’s: the city pays Tampa for treatment but also incurs its own transmission, staffing, infrastructure and operating costs. Public works staff said the city is evaluating alternatives (including possible future arrangements with Hillsborough County) but cautioned a system transfer would carry capital costs to tie into a different provider and those costs would need analysis.
Utility staff confirmed a multiyear meter‑replacement program is underway funded in FY2026 with about $500,000 in capital and that full AMI (advanced metering) would be phased over several years (staff estimated 5–7 years at current funding levels). Utility billing staff said the new meter technology will permit real‑time usage alerts for customers when fully implemented, and the city is working on interim programs to identify unusually high usage more quickly.
Regarding sanitation, the city said the 5% increase offsets an 18% rise in county landfill tipping fees and supports two new residential collection trucks, a sanitation driver and maintenance attendants. Staff said the sanitation fund has been rebuilt from low reserves and the 5% increase is projected to help the fund approach a 25% reserve target over several years.
Several council members raised the PFAS issue: staff said a PFAS treatment change order already added about $234,000 in costs in FY2025 and that longer‑term treatment options could require substantial additional funding; Tampa’s reported treatment estimates were cited as an example of large potential system costs.
Actions: Council adopted both rate resolutions by voice vote; staff will continue to study regional treatment and collection alternatives and will accelerate meter replacements should external funding be available.
