Water Rates will rise by 6 percent

Town Meeting votes overwhelmingly in support of Finance Committee recommendation that would increase average residential bill by $34 a year in the next fiscal year

By Mark E. Vogler

Town Meeting Members voted 38-5 in support of a 6 percent in the water rate for the 2026 Fiscal Year that begins July 1. Under the increase plan recommended by the Finance Committee, the average residential user would pay $594 a year, an increase of $34 in their annual water bill. The average commercial user would pay $5,282 a year, a $298 hike. Voting against the article were Town Meeting Members Jeanie Bartolo and William S. Brown of Precinct 6, Robert J. Camuso, Jr. and Matthew Parlante of Precinct 2 and Darren Ring of Precinct 10.

In its recommendation of Article 11, the Finance Committee urged Town Meeting to adopt Option 2, the middle of three options, stipulating that all receipts be held in the Water Enterprise Fund to be used exclusively for water expenses, water maintenance, water debt and interest and water improvement programs. Option 1 provided for a 7 percent increase, which would have raised the average residential user’s bill up to $600 a year – a $40 hike. This option would have increased the average commercial user’s bill to $5,332 a year – a bump of $348. Option 3 provided for a 5 percent increase, which would have raised the average residential user’s bill up to $590 a year – a $28 increase. This option would have increased the average commercial user’s bill to $5,232 a year – a bump of $250.

A report by the town’s longtime consultant, The Abrahams Group LLC, noted that the current fiscal year (FY 2025) was impacted in the following ways:

• Projected user charges revenue were up 8.7 percent over FY 2024’s due to a 6 percent increase and an increased usage due to the weather.
• Projected expenses up $487,000 (or 5.9 percent) over FY 2024’s – mostly due to salaries, other expenses and debt.
• $332,000 in retained earnings used to balance the budget projections show only $114,000 will be needed for the deficit.

Each year, the town focuses on a five-year plan with objectives to:

• Target projected retained earnings balance of 10 to 15 percent of operating budget
• Eliminate shortfalls, which require retained earnings to balance the operating budget
• Increase rates so revenues  from rates cover expenditures
• Fund capital plan for infrastructure and equipment