Proposed Utility Rate Changes

Proposed Utility Rate Changes for the Fiscal Year 2022-23 (to be effective July 1, 2022)

The City of Chandler manages and operates Water, Wastewater, Reclaimed Water, and Solid Waste utilities, and is projecting needed Utility Rate increases to fund rising ongoing operating costs as well as debt service costs associated with capital improvements.

Operating costs such as chemicals and electricity that are essential to the processes of providing safe drinking water and treating wastewater continue to increase, and we have also seen increases in our contract costs for solid waste and recycling collection.

Debt service costs also are anticipated to increase related to Water and Wastewater facility improvement projects focused on aging infrastructure such as main replacements, well construction and rehabilitation, and sewer assessments and rehabilitation. 

The water and wastewater rate adjustments also incorporate the results of a recent Cost of Service Study. A Cost of Service Study analyzes the actual demand and impact each customer class has on the utility system, and then allocates the costs of providing these services to each classification based on their unique impacts.  This process identified some necessary shifts in the rate structure to make sure each customer class is paying their fair share for the services provided to them. These adjustments will impact single-family, multi-family, non-residential, landscape, and industrial customer classes for water; and single-family, multi-family, and non-residential customer classes for wastewater. Additional details about these impacts are listed below and will be updated to this site throughout the public outreach process.

The reclaimed water and solid waste rate and fee changes that are being discussed are based on revenue requirements to meet the increasing costs associated with these services.

  • There are recommended fee changes for the Recycling Solid Waste Collection Center (RSWCC) to allow for costs associated with the facility to be offset by additional user fees paid by those that use the facility.
  • In an effort to recoup the additional costs incurred by the solid waste fund for customers who receive alley collection services instead of curbside collection, there are recommended changes to the rates these residents pay.

Changes to the current bulk pick-up policy are under review dealing with the number of free pick-ups a resident can schedule each year. 

 Provide Comments/Feedback

Residential & Multi-Family Residential

Monday, Jan. 31 | 5:30 p.m.
City Council Chambers
88 E. Chicago St.

Attend Virtually

Residential Alley

Thursday, Feb. 3 | 5:30 p.m.
City Council Chambers
88 E. Chicago St.

Attend Virtually


Tuesday, Feb. 8 | 5:30 p.m.
City Council Chambers
88 E. Chicago St.

Attend Virtually

Instructions for Virtual Meetings: Once you select "Attend Virtually" for the meeting you would like to attend, you will be taken to the registration page for the meeting. Select the blue "Register" link at the top left of the page or "Register" button at the bottom center. Registration is set to request First Name, Last Name, email address and phone number, then click Register.

Upon registration completion you will receive an email meeting link to join the event on the day of the meeting. You will only be able to join the meeting 10 minutes prior to the meeting starting on the scheduled meeting date.

Adopt Notice of Intent
to Increase Fees/Rates

Thursday, Feb. 24 | 6 p.m.
City Council Chambers
88 E. Chicago St.

Public Hearing for
Proposed Rate Changes

Thursday, April 28 | 6 p.m.
City Council Chambers
88 E. Chicago St.

Final Adoption of Ordinance
on Utility Rate Changes

Thursday, May 12 | 6 p.m.
City Council Chambers
88 E. Chicago St.

Proposed Rate Change Summary for July 2022
Average Bill Change Examples

Two no-cost visits to the RSWCC per year will be allowed for the first 400 pounds of a load, any weight above 400 pounds will be charged at $50 per ton for the overage. Additional visits will be $10 per visit for the first 400 pounds, and then $50/ton if over 400 pounds. Dropping off only recyclable materials will remain cost-free.

Curbside bulk collection scheduling will be available for up to 2 free collections per year with additional bulk collections costing $30.

Those with alleyway collection instead of curbside collection will be charged for the additional contract costs associated with the service of $1.61 per residence per month.

These process and fee changes would allow for a reduction in the planned rate increase needed from 6% to 3.4%.

Public Meeting: Public Hearing

Below are the presentations used during the Council work sessions to discuss the revenue requirements and Cost of Service adjustments needed. The decisions moving forward out of these meetings include to:

  • Gather feedback from residents and businesses on the proposed Water rates allowing for 100% alignment with the results of the Cost of Service Study.
  • Gather feedback from residents and businesses on the proposed Wastewater rates allowing for 75% alignment with the results of the Cost of Service Study.
  • Gather feedback from residents and businesses on the proposed Reclaimed Water rates.
  • Gather feedback from residents and businesses on the proposed Solid Waste rate increase needed, as well as policy changes to services provided.
  • Gather any additional feedback or questions from residents and businesses as they may offer.

Cost of Service Study Results: Solid Waste
Cost of Service Study Results: Water, Wastewater & Reclaimed Water
Cost of Service Follow-up for Wastewater and Solid Waste

Below are the presentations used during public outreach meetings: 
Public Meeting: Residential, Multi-Family, Landscape, Reclaimed
Public Meeting: Residential Alley
Public Meeting: Non-Residential

When was the last utility rate increase?

Please see the History of Utility Rate Changes below.

Why do we need a utility rate increase?

The City of Chandler Council has reviewed the fiscal health of our water, wastewater and solid waste utilities and determined that rate adjustments are needed to keep the funds balanced with expenses over the next few years.

A financially strong and stable utility is necessary in order to maintain the existing critical infrastructure and services our customers rely on. As infrastructure ages, it needs to be maintained and sometimes, replaced.

  • There are planned improvements to the water treatment production plant as well as the water reclamation facility and advanced wastewater treatment processes.
  • An additional focus on aging infrastructure and replacements such as Main replacement, well construction and rehabilitation and sewer assessments and rehabilitations.
  • Water, Wastewater and Reclaimed utility construction costs for capital improvement projects have been steadily increasing. These replacement and maintenance costs are paid for through utility rates.

Solid waste services utility has seen additional contract costs associated with our collection contract. In addition to contract cost changes:

  • The recycling industry is volatile. Chandler used to collect revenue from recycling but it is now a net cost to recycle.
  • We have seen increased costs for disposing and transporting of waste at landfills and increased costs for operating equipment and containers.

The new rates better reflect today’s cost of service to deliver safe and reliable water, process wastewater and provide solid waste and recycling services to our customers.

How much is my single-family residential bill expected to change?

Please see the Average Bill Change examples above.

How does Chandler compare to other Valley cities for utility costs?

While the presentation section above has a variety of comparison tables to other Cities depending on the customer type, our most common customer type is residential and that comparison is provided below based on an average 12,000 gallon usage on a 5/8” meter. For other classifications please check under the presentations tab.

Single-family Residential Comparison

Can I minimize the impacts of a rate increase by using less water?

Yes, the fewer gallons of water used, the lower your utility bill will be. Learn more about water conservation.

Implementation Steps Time Frame
Work Sessions with Mayor and Council Nov. 1 & Dec. 9, 2021
Public Outreach: Single-Family, Multi-Family, Landscape (HOAs, Golf Courses, Schools), Non-Residential & Industrial Dec. 2021 - Feb. 2022
Feedback to City Manager/Council on Results of Outreach Feb. 24, 2022
Adopt Notice of Intention to Increase Fees Feb. 24, 2022
Conduct Public Hearing for Water, Reclaimed Water, Wastewater, and Solid Waster Rate Increases April 28, 2022
Introduce Ordinance to Increase Water, Reclaimed Water, Wastewater, and Solid Waster Rates April 28, 2022
Adopt Ordinance to Increase Water, Reclaimed Water, Wastewater, and Solid Waster Rates May 12, 2022
Anticipated Date Cost of Service Rates Become Effective July 1, 2022
History of Utility Rates Changes

Should you have specific questions or want to provide comments or feedback on the proposed changes, City staff can be contacted directly.

Matt Dunbar, Budget Manager: 480-782-2256
Helen Parker, Sr. Budget Analyst: 480-782-2265