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Oro Valley Water Utility Commission recommends modest base-rate increase, keeps groundwater preservation fee unchanged
Summary
The Oro Valley Water Utility Commission recommended a potable base-rate–only increase for FY 2026–27 that would raise the base charge for most customers by $1.86 per month (about 3.6%) and voted to leave the groundwater preservation fee at $1 per 1,000 gallons. Staff cited rising CAP delivery and wheeling costs and projected the town will meet its cash-reserve requirement under the proposal.
The Oro Valley Water Utility Commission on Monday reviewed its 2026 work plan and voted to recommend a modest potable base-rate increase to the town council while leaving the groundwater preservation fee unchanged.
Director Peter Abraham summarized the staff recommendation and the water-rate model that underpins it, saying the approach prioritizes revenue stability, debt-service coverage and conservation. “Eighty-four percent of our customers would see a dollar eighty-six per month increase in their water bill,” Abraham said, describing that figure as the base-rate change for a typical 5/8-inch meter customer using about 7,000 gallons a month. The recommendation is a base-rate–only adjustment; staff proposed no…
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