Rosenberg City Council members directed staff to prepare an ordinance to raise the city's groundwater reduction plan (GRP) fee by 20¢ per 1,000 gallons, after staff said the Brazosport Water Authority (BWA) is increasing its capital and operations charges.

City water/wastewater staff member Joyce, presenting cost projections, told the council the city currently buys 3,000,000 gallons per day from BWA under a 2014 agreement and can acquire up to 5,700,000 gallons per day if needed. Joyce said the capital portion of the BWA contract was $1.82 per 1,000 gallons in 2025 and will rise to about $2.07 in 2026; the maintenance-and-operations portion is rising from $2.96 to $3.07, producing a combined 36¢ increase passed through to the city.

The recommendation was a 20¢ increase to the GRP fee (from $2.75 to $2.95 per 1,000 gallons), which staff said would cover part of the BWA increase and help delay a projected deficit in the subsidence fund. "In 2028, you can see on this chart that the bottom line is, that's when we start to go negative in this fund," Joyce said, noting that small adjustments now would push that break-even date further into the future.

Why it matters: the Fort Bend-area subsidence rules require reductions in groundwater pumping; to comply the city will have to buy more surface water or otherwise reduce well pumping. Joyce warned that the city's revenues will not rise in step with additional purchased-surface-water costs because total water sales are not expected to increase enough to cover the higher wholesale price. She told the council, "we're going to have to buy more from BWA and pump less with our own wells."

Council reaction and next steps: Members debated alternatives including building a surface-water treatment plant, pursuing partnerships (Richmond was discussed), and seeking grants tied to a statewide water funding initiative on the November ballot. Multiple members said they prefer incremental increases rather than large one-time hikes. The mayor polled council members for direction; four councilmembers indicated they would support moving forward with drafting the ordinance for a 20¢ increase while asking staff to continue pursuing other options, including outreach to Richmond and grant opportunities.

The council did not adopt an ordinance at the meeting; staff will return a proposed ordinance for formal consideration after the draft is prepared. Staff also noted larger capital needs could require issuing debt if the city later decides to construct a surface-water treatment plant; Joyce estimated a surface-water plant could cost on the order of $100,000,000 and would not be fundable from current rates alone.

Discussion vs. decision: council gave staff direction to draft an ordinance (operational action/direction) but did not approve a rate change at this meeting. Councilmembers repeatedly asked staff to continue exploring alternatives and to present financial scenarios before a final vote.

Ending: Staff will return a draft ordinance for council consideration; a vote on any fee change will occur when the ordinance is formally placed on a future agenda.