San Antonio Water System Proposes Revised Rate Hike to City Council Ahead of Vote

The San Antonio City Council is scheduled to vote next week on a revised rate increase proposal from the San Antonio Water System (SAWS). This marks SAWS's second presentation to the council since an initial plan was rejected in June. The utility seeks to fund $2.6 billion in essential infrastructure improvements over the next five years, a reduction of $594 million from its original capital plan.

The updated proposal outlines average residential bill increases of $3.91 in 2027 and $3.94 in 2028. For 2029 and 2030, SAWS has lowered the minimum projected increases, with the average monthly residential bill potentially growing by $13.45 to $16.93 by 2030. SAWS CFO Cecilia Velasquez noted that the City's Public Utilities office will review and approve final numbers annually, and while the utility aims to stay within the range, it "probably not" remain at the minimum.

Council members, some of whom previously cited trust issues with SAWS leadership, acknowledged CEO Robert Puente's efforts to address concerns. SAWS is also expanding its Uplift Program for low-income residents, now covering households up to 150% of the federal poverty level, and piloting an automatic enrollment system. However, some council members, including Edward Mungia and Sukh Kaur, continue to press for updates on impact fees for developers and a list of delayed projects. The SAWS board will hold a public hearing on October 6, with the City Council vote set for October 8. For developers and property owners, these rate adjustments will directly impact operational costs and connection fees, necessitating careful financial planning.