Conroe will charge multifamily complexes more in water and sewer rates starting Dec. 1, after Conroe City Council approved changes to its rates on Sept. 26.
The new rates will charge multifamily units at 90% of the single-family rates, with volumetric water charges based on per-unit basis, Collin Boothe, assistant city administrator and director of finance, said.
“This is the first time the city has changed the methodology for charging apartments,” Boothe said.
The impact to apartment owners will vary based on the number of units and water usage. The base rates include 0-3,000 gallons of water and sewer service, and Boothe said the average usage for multifamily complexes per unit is 2,900 gallons a month.
Starting Dec. 1, multifamily complexes with 354 units will go from paying $38.36 to $61.74, the standard rate for 3,000 gallons—which is a 61% increase compared to last fiscal year’s rates.
Diving in deeper
The city of Conroe commissions a water and sewer rate study every year to determine if the current rates are adequate to fund the infrastructure system. Boothe said city staff started looking into increased water and sewer rates for multifamily units in August.
The city prefers apartment owners cover the increase rather than passing it to tenants; however, Conroe is leaving that choice with the owners, Boothe said.
Boothe said the funds collected from the increase in rates will be used for:
- Operations and maintenance
- Debt service payments of the city’s water and sewer system
- Funding capital improvement projects such as future water wells
Council also approved the Multi-family Lifeline Rate on Sept. 26 which provides a 50% discount on water and sewer base rates for those with disabilities and/or citizens aged 65 and over who reside in apartments. This discount is currently offered to single-family homeowners.
Zooming out
The city has approved the addition of four water wells that are being funded through the city’s budget to help alleviate water needs. However, the addition of the four wells only allows the city to service the current needs; water wells for future growth are still needed.
As of Aug. 29, council implemented a 120-day temporary development moratorium for the northern portion of the city to combat potential water shortage. The temporary development moratorium halts new development and came into effect after city officials first warned City Council about a decline in water capacity this past April.
In June, the City Council also approved irrigation restrictions between May-October.
The map below showing the areas under the temporary development moratorium is an estimation and may not reflect exact boundaries.
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