Large New Braunfels Utilities rate increases approved by City Council
Most New Braunfels residents will be feeling more than the heat this summer following a city-approved increase of New Braunfels Utilities rates. On Monday, April 10, New Braunfels City Council approved a two-year rate hike plan for NBU customers. The rate increase is planned to go into effect August 1, 2023, which is the start of the NBU fiscal year, according to a news release.
Despite, dropping current peak season monthly charges from the water rate, a notable net-increase to bills is expected. NBU rates will see a 6.9% rate increase in 2024 fiscal year. The rate will then increase by 6.4% for the 2025 fiscal year.
The residential bill yearly increase with average water, wastewater, and electric use will see an increase from the current average bill of $243.62 to $260.52 starting in August, according to a NBU presentation. In the 2025 fiscal year the average bill will be $277.08. The rate was based on the average usage of 1,200 kWh, 6,000 gallons of water, and 4,600 gallons of wastewater.
That comes to an increased monthly bill of $16.90 in the 2024 fiscal year, or $202.80 across 12 months. Compared to the current rate, the 2025 fiscal year’s average monthly bill will be $33.46 more, or $401.52 more per year than the 2023 fiscal year.
Despite, dropping the current peak and off-peak season monthly charges from the water rate, a notable net-increase to bills is expected.
Courtesy New Braunfels Utilities
NBU attributes the need for higher rates to capital improvement projects for new infrastructure and the replacement of aging infrastructure.
“As NBU’s customer count and system size increase, NBU’s expenditures in its Capital Improvement Program (CIP) must also increase to keep pace with growth and replace aging infrastructure,” the release states. “This investment in the future ensures that the NBU systems maintain compliance with regulatory agencies, such as the Texas Commission on Environmental Quality, and are prepared to meet the community’s electric, water, and wastewater needs for generations to come.”
Currently, a Kuehler plant interceptor is out of compliance with TCEQ and is part of the current CIP, according to an NBU representative
The city’s first public hearing about adopting the increase was held on April 3, which capped off 15 public meetings since June 2022, according to the release. Meetings typically had a handful of residents attending, NBU told MySA.
