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Richardson council reviews FY26 budget proposals, including 6% water/sewer increase and fee changes
Summary
At a budget workshop, staff outlined the fiscal 2025–26 operating and capital proposals that would raise retail water and sewer rates by 6% and raise several user fees, while holding the proposed property tax rate steady. Council discussed mandates, capital needs and a two‑year approach to wholesale rate increases.
Richardson City Council heard a detailed presentation on the proposed fiscal year 2025–26 operating and capital budget, including a recommended 6% retail increase for water and sewer service and a package of modest fee increases for drainage and solid waste.
City staff presented the package at a budget workshop, saying the water and sewer recommendation responds in part to wholesale cost increases the city is receiving from the North Texas Municipal Water District and from sewer treatment partners. “We are recommending a 6% increase in water and sewer,” staff member Don Magner said during the presentation. Staff also proposed a $1 monthly increase to the residential drainage fee (bringing it to $6.25 per month) and a $0.50 monthly increase for residential solid waste service.
The nut graph: the changes are intended to preserve fund balance targets while covering higher wholesale charges and new regulatory requirements. Magner said the city faces a two‑year wholesale cost challenge — he cited an approximately 4% wholesale water increase and about a…
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