Department
Public Works
Requested Action (Identify appropriate Action or Motion, purpose, cost, timeframe, etc.)
title
Request approval of a Resolution to approve a five percent (5%) water and sewer volumetric rate increase for each of the next two (2) years; to make the necessary increases to the water and sewer fee schedules; to approve modifications to the water connection fees for North Fulton; to provide for an effective date; and for other purposes. If approved by the BOC, the increases in the water and sewer rates, fees and charges will be effective January 1, 2026 and January 1, 2027.
body
Requirement for Board Action (Cite specific Board policy, statute or code requirement)
Pursuant to the Supplementary Powers provision of the Article 9, Section 2, ¶ III of the Constitution of the State of Georgia, Fulton County is delegated the authority to provide sewer and water services. The County’s authority to “prescribe, revise, and collect rates, fees, tolls, or charges for the services” is set out in O.C.G.A. § 36-82-62.
Strategic Priority Area related to this item (If yes, note strategic priority area below)
Health and Human Services
Commission Districts Affected
All Districts ☐
District 1 ☒
District 2 ☒
District 3 ☒
District 4 ☐
District 5 ☒
District 6 ☒
Is this a purchasing item?
No
Summary & Background On September 7, 2022, the Board of Commissioners approved a five percent (5%) increase in the water and sewer rates for FY2023, FY2024 and FY2025 (Agenda Item No. 22-0643). The Department undertook a new rate study to better understand the financial implications associated with funding the current Capital Improvement Program based on the recommended projects contained within the North Fulton Water Masterplan and South Fulton Capacity Study. These studies identified future needs in both the North Fulton water distribution system and the County’s sanitary sewer systems in South Fulton.
Scope of Work: In 2024, the Fulton County Public Works Department partnered with a consultant to assess both current and future financial needs, guided by projects identified in the Capital Improvement Program and the Water Master Plan. In collaboration with the Finance Department, the Public Works team developed a comprehensive roadmap to fund critical infrastructure projects required to support continued growth and maintain expected service levels throughout the portions of the County serviced by those systems.
This roadmap was developed in alignment with departmental requirements and operational constraints. As part of this effort, the consultant was tasked with building a robust financial model that incorporated key considerations such as historical data analysis, debt ratio and financing requirements, operational forecasting, and anticipated capital needs. Notable among these needs is the expansion of the Camp Creek Water Reclamation Facility (WRF), which will need to be upgraded from 24 MGD to 40 MGD in the near future based on current flow trends.
The financial model created by the consultant also accounted for current rate structures, operational levels, and the broader financial demands of the ongoing Capital Improvement Program, including the water distribution projects identified in the 2024 Water Masterplan. As a result, the Public Works Department recommends the adoption of the proposed Resolution to authorize two additional (5%) increases to water and sewer rates, with proposed fee adjustments with the first taking effect on January 1, 2026 and the second taking effect on January 1, 2027. The Public Works Department will review current infrastructure needs and review the rate structure before reporting back to the Board of Commissioners about the need for future increases.
Community Impact: The proposed changes to the rate structure would increase rates and strategically position the Department to fund near term capital improvement projects.
Department Recommendation: The Public Works Department recommends approval of this item.
Project Implications: The recommendation to raise the volumetric rate is required give the Public Works Department the ability to complete projects identified in the current CIP list and those identified in thew Water Masterplan.
Community Issues/Concerns: No issues/concerns have been noted by the Public Works Department.
Department Issues/Concerns: The Public Works Department in cooperation with the Finance Department believe the recommendation of a rate increase are consistent with the needs identified within the Water Masterplan and the current CIP.
Fiscal Impact / Funding Source
Funding Line 1:
n/a