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Rate Adjustment

August 15, 2025

Wellborn SUD to Consider Water Rate Adjustments to Support Long-Term Reliability and System Independence

WELLBORN, TEXAS –August 19, 2025 – The Wellborn Special Utility District (WSUD) Board of Directors will consider final action on proposed water rate adjustments during its upcoming meeting on Tuesday, August 19th. The proposed water rates are designed to strengthen the long-term financial health of the utility and ensure safe, reliable water service for every household and business in the District. These adjustments are based on a cost-of-service study and would go into effect on January 1, 2026.

The rate increases are designed to support critical system upgrades, replacement of aging infrastructure, and construction of the District’s 2026 Water Supply Project—an initiative aimed at building independence from outside water providers and enhancing system resilience.

“As a Board, we are committed to delivering safe, dependable water service today and into the future,” said James Massey, President of the WSUD Board of Directors. “This project gives us local control of our water supply, prepares us for future growth, and protects our community during peak summer demand.”

What’s Changing: Proposed Rate Increases

Effective Date: January 1, 2026 (Proposed)

  • Monthly Fixed Charge (Residential) will increase from $37.50 to $47.25

  • Volumetric Rates (per 1,000 gallons):
    • Tier 1 (0–2,000 gallons): $4.70
    • Tier 2 (2,001–10,000 gallons): $5.20
    • Tier 3 (10,001-20,000 gallons): $5.70
    • Tier 4 (20,001-30,000 gallons): $6.60
    • Tier 5 (30,001-40,000 gallons): $8.60
    • Tier 6 (40,001-50,000 gallons): $10.80
    • Tier 7 (50,001-90,000 gallons): $13.50
    • Tier 8 (>90,000 gallons gallons): $15.50

Beginning in January 2026, a typical residential customer using 5,000 gallons per month would see an increase of approximately $11.55 per month (from $60.70 to $72.25). A higher-usage customer at 30,000 gallons would see an increase of about $22.55 per month.

Effective Date: January 1, 2027 (Proposed)

  • Monthly Fixed Charge (Residential) will increase from $47.25 to $57.00.

  • Volumetric Rates (per 1,000 gallons):
    • Tier 1 (0–2,000 gallons): $5.00
    • Tier 2 (2,001–10,000 gallons): $5.50
    • Tier 3 (10,001-20,000 gallons): $6.10
    • Tier 4 (20,001-30,000 gallons): $7.00
    • Tier 5 (30,001-40,000 gallons): $9.10
    • Tier 6 (40,001-50,000 gallons): $11.40
    • Tier 7 (50,001-90,000 gallons): $14.30
    • Tier 8 (>90,000 gallons gallons): $16.40

Beginning in January 2027, a typical residential customer using 5,000 gallons per month would see an increase of approximately $11.25 per month (from $72.25 to $83.50).  A higher usage customer at 30,000 gallons would see an increase of about $20.75 per month.

Over the several meetings, the Board has discussed rates that are necessary to ensure a adequate and dependable long-term water supply. WSUD is legally required under state law to serve new development within its boundaries, and conservation alone cannot meet the infrastructure demands of a growing region.

The rate structure protects low-usage customers by maintaining a tiered rate system that encourages conservation. Most residential customers would see moderate increases, while higher water users would see larger impacts.

“We understand that any rate increase affects our customers,” said Campbell Young, General Manager of WSUD. “That’s why we’ve worked hard to design the system improvements that are needed to ensure the water supply our community deserves and that the associated proposed rate increases are fair, transparent, and based on actual system needs.”

While project costs have increased due to inflation and supply chain disruptions, the design is complete and construction is moving forward—starting with the well field in 2025. WSUD will maintain interconnections with neighboring utilities for emergency use, but the new system will dramatically reduce reliance on outside sources.

The rate study presentation and introductory comments can be downloaded here

Media Contact:
Campbell Young
 General Manager
 Wellborn Special Utility District
 Cyoung@wellbornsud.com
 www.wellbornsud.com