CC MEETING: December 2, 2025
DATE: November 12, 2025
TO: Erin Rinehart, City Manager
FROM: Melissa Everett, Finance Director
Diana Vaughn, Chief Financial Officer
Chrystal Davis, Assistant City Manager
Title
Consider An Ordinance Amending Chapter 31, The Comprehensive Fee Schedule.
Body
BACKGROUND:
The City's Utility Fund aims to generate sufficient revenue to cover all operating, capital, fleet, and debt service costs while maintaining cash reserves in compliance with the City's financial policy of at least 90 days of operating expenditures. Due to the seasonality of significant water sales occurring in the final (July-September) quarter of the fiscal year, staff evaluates rate adjustments in early November to determine the revenue necessary to fund the next fiscal year's operations and capital programs.
The proposed ordinance includes increases to water and wastewater rates, projected to generate approximately 7.50% in additional revenue for the Utility Operating Fund. This revenue will support critical water and sewer capital projects and offset increased operating costs from Dallas Water Utilities (DWU) and Trinity River Authority (TRA). The Audit, Finance and Governance Committee was provided with the opportunity to discuss any potential increases to utility rates prior to City Council deliberations. The Committee expressed support for the proposed recommendation with the understanding that it would be presented to Council on December 2, 2025, for consideration.
In addition, the Public Works Division proposes updating the Cross-Connection Control and Prevention fees, which have not been revised since 1998. The updates are intended to align the City's fees with current industry standards and ensure recovery of administrative and compliance costs.
Staff presented the proposed amendments to the Audit, Finance, and Governance Committee on November 11, 2025.
The Municipal Drainage Utility System Fee Schedule, approved by City Council ...
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