Per Arizona Revised Statute (A.R.S.) § 9-511.01.A.2, Council is being asked to adopt a notice of intention by motion at a regular council meeting and set a date for a public hearing on proposed increases for the city's water, wastewater, solid waste, and new stormwater rates. (Ryan Bittle, Finance Manager Budget & Research, Jared Askelson, Finance Director)

This is the first step to adopt new user fees that will impact forecasted revenues and provide funding for future year projected expenditures. Per A.R.S. §9-511.01.C, the effective date of rate increases can occur no sooner than 30 days after adoption by Council which means the proposed rate increases would go into effect on or after January 15, 2026. 

Rate studies are conducted in order to develop a plan or framework to obtain the revenues needed to fund operations while at the same time minimizing the impact of any adjustments on ratepayers. A rate study provides information to citizens and the Council regarding impacts of policy choices on ratepayer monthly bills and the utility's financial health.

City of Goodyear budget policy states that Enterprise Funds should be self-sufficient. This means upon full implementation, services should not be subsidized by the General Fund and rates should be adequate to cover the cost of services provided. Water, wastewater, and solid waste rates are fully implemented. Newly proposed stormwater rates will take several years to be fully implemented and reach self-sufficient status.

In accordance with the amended by-laws of the Citizen Water Advisory Committee adopted by the City Council on February 24, 2025, the citizen's committee, which is comprised of volunteers who are residents living within the city utility areas met on five different occasions to understand the city's water, wastewater, solid waste, and stormwater operations and as well as discuss challenges in a collaborate effort to assist with development of the rate plan.  

The newly proposed fees were prepared by Willdan and city of Goodyear staff over a period of approximately six months. New stormwater fees were presented to Council in a work session on September 15th. Water, wastewater, solid waste, in addition to stormwater being discussed for a second time will be presented to Council on October 21st. Rates were last adopted by Council on January 25, 2021 for a period of five years.

A.R.S. § 9-511.01 requires that for any proposed increase in water or wastewater rates or rate components, fees, or service charges, the city must adopt a notice of intention and file a written report with data supporting the increase in the Clerk's Office at least thirty days prior to a public hearing (Attachment A). This action is in compliance with that statute and begins the state required public process for rate increases (Attachment B). The public process will exceed all state notification requirements and include information on social media, our website, customer emails, direct mail as appropriate, in addition to providing a public forum at our monthly Citizens' Water Advisory Committee meetings leading up to the Council Public Hearing on December 15, 2025. The Citizens' Water Advisory Committee approved their recommendation to Council (Attachment C) on September 10, 2025.  Final decisions on rate increases will take into consideration feedback from the Citizen's Water Advisory Committee in conjunction with work session presentations from staff to Council on September 15, 2025 and October 21, 2025.