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Council approves first reading of 3% water and sewer rate increase
Summary
Council approved the first reading of Ordinance 1473-24, a 3% increase in base and usage charges for potable water and wastewater. Staff said the increase aligns with a utility rate study and that future increases will be brought back to council rather than applied automatically.
On first reading the Zephyrhills City Council approved a proposed 3% increase in potable water, wastewater and reclaimed-water rates. Finance staff explained the structure: both base charges and usage charges will rise 3% this year; the last rate increase was in October 2021. The increase was presented as a one-year adjustment consistent with the city’s utility rate study; staff said future increases projected by the study will be presented to council year-by-year instead of being automatically applied.
Council members asked technical questions about the rate model, whether future years would follow the rate study projections, and whether a CPI-based approach had been considered (staff said CPI indexing was withdrawn in favor of the rate-study schedule). Staff emphasized that utility revenue supports operations and equipment replacement and that rate proceeds go directly to the utility department.
Next steps: the ordinance passed first reading unanimously and will return for final action on the council’s published schedule.
