Important Update: Proposed FY 2026/27 Public Utilities Budget and Rate Adjustments

The Department of Public Utilities submitted a proposed Operations Budget for Fiscal Year 26/27 to the County Manager.  The Board of Commissioners will consider the proposed budget for adoption on June 15, 2026 at 6:00 pm.  As our County continues to experience steady growth, our department is committed to meeting current water and wastewater demands while actively planning for the future.

Over the past five years, our retail water customer base has grown by 24% (now serving ~50,600 customers), and our retail sewer customer base has grown by 32% (now serving over 9,900 customers). To maintain high-quality service, cover rising operational costs, meet new regulations and fund a comprehensive 20-year Capital Improvements Plan, we are proposing rate and fee adjustments.

These adjustments are based on an independent financial rate analysis conducted in February 2026 by Willdan Financial Services to ensure we recover costs fairly and remain financially strong.

How Will This Affect Your Monthly Bill?

For a typical retail residential household using 4,000 gallons of water per month, the proposed changes will result in a monthly increase of $2.20 (or about 4.8%) per month for water only customers and a monthly increase of $5.80 (or about 5.1%) for those customers with both water and sewer.

The breakdown of the proposed monthly changes is as follows:

Service Type	Current Monthly Bill	New Monthly Bill	Monthly Increase ($)	Monthly Increase (%)
Water	$45.80	$48.00	$2.20	4.8%
Sewer	$68.40	$72.00	$3.60	5.3%
Combined Total	$114.20	$120.00	$5.80	5.1%

 

Key Highlights of the FY 26/27 Budget

• Infrastructure Investments: The proposed budget supports our 20-year Capital Improvements Plan, which includes vital projects designed to meet growing demands, upgrade aging facilities, and ensure strict compliance with operational permits.
• No General Fund Transfers: The Public Utilities budget remains entirely self-sustaining, requiring zero transfers from the County’s General Fund.
• Essential Staffing Additions: To keep up with system expansions and service calls, the budget includes funding for four positions (one Project Engineer, one Meter Reader/Service Technician, and two Utility Maintenance Workers) scheduled to begin October 1, 2026.

Important Dates & Deadlines

If approved, the new rate structures will take effect on the following schedule:

• July 1, 2026: Proposed adjustments to Plan Review, Permitting, and Inspection Fees go into effect.
• September 1, 2026: Proposed adjustments to Retail and Bulk Water and Sewer Fees and Rates go into effect.

Next Steps and More Information

The proposed budget will be presented to and discussed with the Board of Commissioners. We encourage our customers to review the full details.

• View the Full FY 26/27 Proposed Rate Adjustment Tables
• View the Full Public Utilities Budget Summary Memorandum

If you have any questions or require additional information regarding these updates, please contact the Department of Public Utilities at (919) 209-8333 or publicutilities@johhstonnc.gov.