Vero Beach residents will pay more for water and sewer service beginning in October after the City Council unanimously approved a series of rate increases Aug. 25.
Rob Bolton, the city's director of water and sewer, said the changes are needed to account for projected growth, rising operating expenses and major capital improvements.
The city is projecting new construction to add water and wastewater customers each year, along with hundreds of new wastewater customers connecting through the septic-to-sewer program.
"We have anticipated 30 new water and wastewater customers, that's new construction per year. We have additional 300 septic to sewer wastewater customers annually projected to connect through the step system. Operating expenses are forecasted with an escalation I think of 4.1% over the years based on the 2026 budget we have today. Capital improvements are $217 million over a four-year period. GMP projections account for about $164 million, that is the water reclamation facility," he said.
A major portion of the spending will go toward new wastewater treatment plants that will replace the city's nearly 50-year-old facility on 17th Street. The rate increases will be phased in over four years.
The current combined water and wastewater bill is $83.54. Under the approved schedule, wastewater rates will increase 15% in each of the first two years, followed by increases of 10% and 5%. Water rates will increase 10% in the first year, followed by increases of 7.5%, 5% and 5%.
"Currently the bills are at $83.54. You'll have a wastewater increase of 15% next year, followed by 15%, then 10% and 5%. In another slide I'll show you what changes will occur in a couple years from now. The water customer is 10%, 7.5%, 5% and 5%. And the bill change will eventually be from $83.54 now to $122 by 2030," he said.
On average, a resident paying for water and sewer will pay about $11.38 more per month, with the increase taking effect each October.
The changes are expected to make Vero Beach's utility rates the third-highest among comparable nearby municipalities.
Bolton said other communities are also considering rate increases as they face their own rising costs.
"Right now, Vero is at $83.54, by next year it will be at $94.92," he said. "I can tell you, Palm Bay, Fort Pierce, Stuart, all of them are looking at raising the rates here in the next couple of years."
Some residents expressed opposition to the increases, including Adeline Clemens, who said the higher bills would be difficult for longtime residents.
"Almost $100 a month for 4,000 gallons of water," she said. "It's not fair. It's not fair to the people who have been here forever and ever."
According to the city, operating expenses are expected to increase by 4.1% annually over the next four years, with spending projected to rise from $25.6 million to $32 million by 2030.