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Dunedin approves multi‑year water and sewer rate package as utility leaders cite inflation, supply and regulatory costs
Summary
The commission adopted Ordinance 25‑O‑4 to raise water and sewer rates after a study showing rising construction, materials and operational costs, plus state regulatory requirements that drive capital needs including reclaimed water storage and injection wells.
The City Commission unanimously adopted Ordinance 25‑O‑4 on June 5 to raise water and sewer rates after staff and consultants presented a multi‑year rate study the city says is required to stabilize the utility enterprise fund.
Clayton (Clay) Watkins, Utilities and Engineering, told commissioners the utility must increase revenue to fund capital replacements, to cover rising operating costs and to finance projects that respond to regulatory changes. Watkins said industrywide cost pressures — higher construction costs, long lead times for parts and “vendor notices” of sharp price increases for some materials — have tightened the city’s options.
Consultant Tristan Townsend of Raftelis (the rate consultant) highlighted regulatory drivers tied to state law requiring alternatives to surface‑water…
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