Supervisors probe water, sewer and stormwater rate changes as tax-relief costs and public-safety staffing drive budget debate

Isle of Wight County staff presented a proposed FY 2026 budget that would raise several utility rates, reduce the annual stormwater fee, and shift capital funding while supervisors pressed for detail on program costs, staffing needs and options to avoid large tax increases.

In the utilities presentation, staff proposed a water rate increase of 66 cents per 1,000 gallons, taking the rate from $13.15 to $13.81 per 1,000 gallons; a monthly base meter fee that would rise about 43 cents to make the meter fee $17 per month; and an estimate that a household using the county average of 5,000 gallons would see roughly a $4 monthly bill increase. Staff said the county budgets about $4.4 million in water sales revenue and currently subsidizes utilities from the general fund by roughly $4.3 million; eliminating the general fund subsidy would require roughly doubling water rates, staff said.

On sewer, staff proposed raising the collection charge from $7 to $9 per 1,000 gallons. Staff noted that treatment of wastewater is performed by Hampton Roads Sanitation District (HRSD), and residents receive separate collection and treatment bills depending on where they live. The county also proposed increasing new-connection (tap) fees: sewer tap fees from $4,000 to $4,500 and water from $4,500 to $5,000. Staff estimated roughly 100 new homes would connect to county water or sewer systems in the coming year (they stressed this excludes homes built outside county…