Garden Ridge Water Commission recommends $5 base-rate increase, 1% tier raise to City Council

The Garden Ridge Water Commission voted to recommend that City Council adopt a water-rate increase that staff characterized as necessary to cover mounting capital projects and shore up reserves.

Robin, Garden Ridge finance director, told commissioners the last rate increase was in 2022 and that the city faces major capital needs, including a ground-storage tank rehabilitation and a proposed Vista Ridge tie‑in estimated at $867,000. "The last rate increase that we have was in 2022, so it has been three years," Robin said, adding that the proposed options were modeled against recent consumption trends and reserve targets.

Staff presented five options that combined base-rate increases and percentage increases on volumetric sales. Robin said option four — a $5 increase in the base charge and a 1% increase to tiered volumetric rates — would move the utility’s reserves toward the commission’s target and help fund planned projects and one planned new utility operator position. She noted that the model uses the lowest consumption from the last four years to forecast sales and that multi-year conservation has reduced water sales.

Commissioners asked whether the Vista Ridge connection was a new service area or an emergency interconnect; staff clarified it is an alternate emergency source operated by SAWS and would carry fees and operational requirements if used. Stephen, utility staff, described operational impacts such as occasional flushing and annual backflow testing if the connection is used as a standby feed.

The discussion focused on how to balance fixed-cost recovery (raising the base) versus using tiered rates tied to consumption. Several commissioners argued for a larger base increase to ensure predictable revenue for debt service and capital work, while others urged restraint given reduced usage and the need for clearer five‑year capital and preventive‑maintenance planning.

A commissioner moved to recommend option four to City Council for the budget process. The motion was seconded and passed by voice vote; commissioners instructed staff to forward the recommendation and prepare ordinance language for council consideration. The commission’s recommendation will go to City Council, and if Council approves it as part of the budget process, the new rates would be effective October 1 and appear on customer bills beginning with the November billing cycle.