Denver Water announced that its board will consider raising water rates for the utility’s 1.5 million customers beginning Jan. 1, 2027. The proposed increase is intended to fund long‑term capital projects such as expanding Gross Reservoir, removing lead service lines and replacing aging mains.
Proposed rate changes
For a typical single‑family home, the average monthly bill would rise from $56.97 to $60.21 – an increase of roughly 5.7%. Suburban customers would see a larger jump, about 7.9%, bringing the average monthly charge to $61.57. The utility noted that customers who use less water will feel a smaller impact.
Why the increase is needed
Alan Salazar, CEO of Denver Water, told Colorado Matters that the utility is striving to keep rates “reasonably flat and predictable, particularly for indoor use.” He emphasized that indoor consumption – bathing, laundry, drinking and cooking – will remain the focus of the rate structure, while outdoor irrigation continues to drive the bulk of water demand.
Salazar warned that a hotter, drier climate is stretching the region’s water supply and that the upcoming rate adjustments are part of a broader strategy to ensure a reliable, safe water system for Denver’s growing communities.
Drought surcharge under review
The board is also reviewing its temporary drought surcharge, which adds an extra cost to encourage conservation. Low‑usage customers currently pay about $30 per year in drought charges; the proposed change could add roughly $8 to that amount.
Community impact and response
Jimmy Luthye, a spokesperson for Denver Water, explained that the exact increase each household sees will depend on location and water usage patterns. The utility stressed that the rate proposal is designed to spread costs fairly while preserving the ability of families to afford essential indoor water use.
Denver Water serves a wide range of municipalities, including Denver, Littleton, Lakewood, Arvada, Edgewater, Glendale, Wheat Ridge, Greenwood Village, Sheridan and numerous surrounding water districts. The board is scheduled to vote on the regular and drought‑rate proposals in October, with any approved changes taking effect at the start of 2027.
Looking ahead
Salazar highlighted that the proposed rate hike is modest compared with the utility’s 2026 increase, which was slightly smaller. He framed the adjustment as a responsible step to address the “more difficult and trying future” posed by climate change and to maintain clean, safe water for the region’s residents.
Stakeholders and residents will have the opportunity to review the detailed proposal and provide feedback before the October board meeting. The utility’s presentation, shared with the public on Wednesday, outlined the projected costs and benefits of the planned infrastructure projects.
Original reporting: Denverite — read the source article.