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Panama City adopts phased increase to water and sewer connection fees, rejects geographic split
Summary
Panama City commissioners approved ordinance 32‑74 raising water and wastewater connection (impact) fees, phasing the increases (25% on Feb. 16, 2026; 50% Jan. 1, 2027; 100% Jan. 1, 2028) and directing staff to craft assistance for mandated hookups. The commission declined to treat Panama City North differently because a separate study would add significant cost.
Panama City commissioners on Nov. 18 adopted ordinance 32‑74, increasing the city's water and wastewater connection fees and phasing the rises over approximately two years.
The ordinance sets the water connection fee at $1,350 per equivalent residential connection (ERC) and the wastewater connection fee at $1,610 per ERC, with a phased schedule that applies citywide: 25% of the increase effective Feb. 16, 2026 (90 days after adoption), 50% on Jan. 1, 2027 and 100% on Jan. 1, 2028. The roll call vote was 5‑0.
Commissioners said the increase is needed to cover capital investments and to avoid shifting those costs onto monthly utility rates. Staff told the commission the city's connection fees had not been updated since 2003 and that a 2024–25 consultant study recommended the current adjustments.
“Conne…
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