Peoria proposes modest utility rate increases, schedules public hearing for May 20

Peoria City Council members heard a presentation March 4 from city finance staff on a multi-utility rate study that recommends phased increases in water, wastewater and solid waste charges to maintain cost recovery and fund capital needs.

City Deputy Manager Kevin Burke and Finance staff explained the study and the drivers for higher costs, while City staff described a timeline that would put new rates into effect July 1, 2025 if adopted after the public hearing. The council approved a notice of intent to increase rates as part of the consent agenda (7-0). The city plans a public hearing and possible adoption on May 20, 2025, with the required detailed rate report posted 30 days before that hearing.

The study recommends a combined bill increase of 5.5% in fiscal 2026 and 5.1% in fiscal 2027. By utility, staff proposed a 3.5% increase for water in each year, a 5.8% increase for sewer, no increase for stormwater in this cycle, and a roughly 10% increase for solid waste in FY 2026 followed by an 8% increase in FY 2027. Staff said the FY 26–27 solid waste increases were lower…