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Cedar Hills council approves new tiered irrigation and water fees, phased implementation in July and September
Summary
Council adopted a phased update to irrigation and water rates, implementing three lower tiers July 1 and expanding higher surcharges on Sept. 1 to encourage conservation and protect debt‑service coverage. The fee schedule change passed unanimously.
The Cedar Hills City Council voted unanimously on June 10 to adopt a revised fee schedule that changes how residential irrigation and water use are billed, adding steeper, tiered surcharges phased in over the summer.
Finance staff explained the first stage, effective July 1, establishes three base tiers for residential allotments: $0.70 per unit for usage up to 75% of allotment (tier 1), $1.00 per unit for 75–100% (tier 2) and $1.00 per unit for 100%+ (tier 3). Beginning Sept. 1 the higher tiers will take effect to further penalize excessive seasonal use: 100–150% at $1.50, 150–200% at $2.50, 200–250% at $3.10 and 250%+ at $3.95 per 1,000 gallons.
“Adopting this phased approach gives residents the summer to learn their meters and adjust watering practices before higher surcharges take effect,” finance staff said. Staff added the schedule was designed to protect bond debt‑service coverage while encouraging conservation.
Councilmembers and staff also said commercial accounts will see a $38.58 base rate and a per‑lot acreage charge for larger lots. During public comment residents asked whether the higher rates apply to only the portion above a threshold or to all usage once a tier is hit; staff clarified the system works in marginal bands, similar to income tax brackets, so only the portion within each band is billed at that band’s rate.
The council approved Resolution 6‑10‑2025D to amend the fees, bonds and fines schedule. Councilmembers said the approach aims to be gradual, transparent and defensible to rating agencies that review municipal bond performance.
Next steps: new billing tiers go into effect July 1 for the first three tiers, with the additional surcharge tiers effective Sept. 1. Staff said they will monitor usage data and may return with refinements.
