Ridgewood water department proposes 8% rate increase as PFAS costs, treatment and capital rise

Ridgewood's water department told the Jan. 26 budget hearing that rising treatment and capital costs — including PFAS mitigation work and system replacements — underpin a proposed average 8% increase in customer charges for 2026.

Water staff presented a $26.7 million operating budget (about a 9% year‑to‑year increase) and proposed changes to customer billing: the volume rate would rise from $6.39 to $6.90 per 1,000 gallons and the facilities (fixed) charge for the smallest meter would increase from $35.95 to $38.95 per quarter. Water staff said the change, combined with a PFAS treatment charge increase, would raise the typical single‑family annual bill by about $87.52.

Officials attributed most of the increase to PFAS‑related treatment, increased electric and heating utility costs at treatment facilities, and more frequent repairs to an aging distribution system. "The facilities charge and the volume rate, we're proposing an 8% increase," a water department speaker said. Staff also noted a possible need to set aside additional debt service and use surplus funding as the utility finalizes IBank loans and PFAS project accounting.

On capital, the department requested roughly $5.53 million for distribution main replacements, storage tank improvements, facility upgrades and a corrosion‑control pilot to test an alternative phosphate product; staff said the pilot would run over an extended period and could conclude in 2027.

What happens next: the water department will return refined revenue and financing numbers as loan and surplus calculations close; council discussion will continue during the next budget meetings and before any rate ordinance is adopted.