Columbus City Council members will hear a presentation regarding potential increases in water and sewer rates on Tuesday night.
The agenda for the meeting has the item listed under the discussion, meaning members will not be taking any votes on the matter.
An ordinance establishing the new rates would need to be passed on two readings to be approved.
The Columbus City Utilities (CCU) board approved the potential increases on August 20.
The rate increases were recommended by an outside firm, Baker Tilly, and based on a cost-of-service study done for both utilities.
Water rates
Pending council approval, water rates are to be increased over two phases, beginning with a 25% increase in 2026, followed by a 20% increase in 2027 for the majority of customers.
The following is the approved monthly metered flow rate (per 1,000 gallons):
- First 15,000 gallons: ($3.03) (present rate) to ($3.80) (2026) to ($4.56) (2027)
- Next 285,000 gallons ($2.58) (present rate) to ($3.34) (2026) to ($4.10) (2027)
- Over 300,000 gallons ($1.92) (present rate) to ($2.33) (2026) to ($2.74) (2027)
Sewer rates
Pending council approval, sewer rates for residential customers are to be increased over three phases beginning with a 5% increase in 2025, a 9% increase in 2026 and another 5% increase in 2027.
The following is the rate by volume for sewer (per 1,000 gallons), broken down by customer class:
- Residential and small commercial: ($8.33) (present) to ($8.78) (2025) to ($9.57) (2026) to ($10.05) (2027)
- Large commercial: ($6.60) (present) to ($8.01) (2025) ($8.73) (2026) to ($9.17) (2027)
- Industrial: ($5.26) (present) to ($6.33) (2025) to ($6.90) (2026) to ($7.25) (2027)
- Driftwood Utilities: ($6.16) to ($7.54) (2025) to ($8.22) (2026) to ($8.63) (2027)
Doug Baldessari with Baker Tilly said the primary driver for the new round of potential increases is $60 million in planned capital projects identified in the utilities master plan relating to various crucial infrastructure from needed improvements to the city’s lift stations to the city’s water treatment plants.
The previous water and sewer rate increases were approved in 2021 and lasted over three phases with increases in 2021, 2023 and this year. At the time, the increases were the first in more than 27 years for water customers and 12 years for sewer customers.
Sewer rate increases only require approval by the utility board and the city council, whereas water rate increases need sign off from the IURC as well. Utilities officials will prepare and file the proposed changes with the IURC if approved and expect to hear back with IURC’s final order in July of 2025. At that time, the rate increases would go back to city council once again to approve the final changes based on IURC feedback, officials said.
