Gilbert council approves notice of intent to raise water and solid‑waste rates, sets Feb. 17 public hearing

The Gilbert Town Council voted unanimously on Dec. 16 to direct staff to publish a notice of intent to raise utility rates and to set a public hearing on Feb. 17, 2026, formally starting the 60‑day public review period that precedes any final council action.

Town Manager Patrick Banger and department staff framed the request as part of a multiyear effort to maintain enterprise fund solvency and preserve the town’s credit rating. "We have to follow a very prescriptive regimen, defined by Arizona statute, and when it comes to requirements for rate increases, beginning with a notice of intent — which is tonight — and then a formal adoption by council," Banger said.

Rebecca Hamill, Gilbert’s water manager, told the council the request responds to three main pressures: higher water resource costs tied to Colorado River shortages and CAP purchases, major capital projects including the North Water Treatment Plant reconstruction and a well drilling program, and rising operating costs for chemicals, electricity and labor. Hamill outlined two rate options for the water fund: Option A would apply a 25% increase in April 2026; Option E would split increases (14% in April 2026 and another 14% in April 2027) with smaller adjustments thereafter. "We're not talking about a total percentage increase on all lines of service in the bill," Hamill said, adding the request applies to the water meter base fee and volumetric charges only.

Isaiah Garcia Romero, solid‑waste and recycling manager, described independent cost pressures for that fund: sharply higher replacement and repair costs for refuse vehicles, rising landfill tipping fees and volatile recycling commodity revenue. He presented a scenario that would generate a 2% revenue increase for residential solid‑waste services — for example a standard 90‑gallon trash and recycling service would see a $0.55 monthly increase — and a commercial revenue target modeled at about 20% to keep the commercial fund solvent.

Staff said the Public Works Advisory Board reviewed multiple rate scenarios and recommended Option A as the preferred water approach while supporting an alternative for council consideration. The town also announced it has selected Kimley Horn Associates to conduct an independent audit of meter performance and billing accuracy; staff said preliminary audit findings will be available in March 2026.

Chief Communications Officer Candace Quan outlined a communications plan that includes a utility bill calculator, biweekly project updates, listening sessions and online materials intended to help residents understand how specific changes would affect different household usage profiles.

Council Member Young Koprowski moved to publish the notice of intent (including both options for council consideration); Council Member Monte Lyons seconded. The motion carried 7–0.

Next steps: the published notice establishes the maximum rates the town may adopt and begins a 60‑day public comment and outreach period before council considers formal adoption. Staff said the full rate study will be posted to the town website and that the town will hold a public hearing on Feb. 17, 2026.

Votes and procedural action: Motion to publish the notice and set the hearing was moved by Council Member Koprowski and seconded by Council Member Lyons; vote 7–0 in favor. The council did not adopt a final rate tonight.

Funding and safeguards: Staff emphasized the preference for exhausting alternative funding and cost‑reduction measures before raising rates. Hamill said the town had reduced or reprioritized roughly $239 million from the five‑year plan to limit immediate rate impact and noted some projects are being paid with bonds with terms that may continue for 20 years.

Audience reaction and public comment: Dozens of residents attended the meeting and more than a dozen members of the public urged caution, asked for independent audits and detailed transparency about where current utility revenues are spent. Several speakers warned of hardship for retirees and owners of heritage farm properties and asked the council to consider phased increases and alternatives to placing more cost burden on individual ratepayers.

Reporting note: The notice of intent authorizes staff to publish the maximum rates to be considered and begins the statutorily required notice period; the council must still adopt the rates at a future meeting to make them effective.