St. Petersburg Residents to See Utility Rate Hikes on Water, Wastewater, Stormwater, Sanitation, and Reclaimed Water Services Starting October 1, 2026

St. Petersburg residents will see higher utility bills starting October 1, as the City Council approved rate increases for five essential services. The hikes affect water, wastewater, stormwater, sanitation, and reclaimed water.

A typical household using 3,500 gallons of water with a Tier 2 stormwater property can expect a 6.9% total increase in their monthly bill. These adjustments stem from the city's annual utility price study, which assesses the funding needed for operations and infrastructure projects.

City Council Approves Utility Rate Increases

The St. Petersburg City Council greenlit the price hikes, with the ordinances for sanitation and stormwater passing by a 6-2 vote. The measure covering water, wastewater, and reclaimed water services passed with a 5-3 vote.

Understanding the New Rate Structures

Specific increases include a 7.5% jump for water prices, 6.5% for wastewater, and 9.75% for reclaimed water. Stormwater prices will increase by 8.5%, while sanitation services will see a 6% rise. City staff initially predicted a 15% increase for stormwater, but whittled that proposal down to 8.5% before the vote.

Reasons Behind the Hikes and Future Plans

City staff cited inflation, aging infrastructure, the cost of equipment, regulatory requirements, and borrowing expenses as reasons for the need for more funds. Councilmember Lisset Hanewicz noted, "We are trying to do the best we can and maintain rates, especially after the storms, the hurricanes."

The city has hundreds of millions of dollars in utility work planned for the coming years, including upgrades to water and wastewater pipes. Starting in Fiscal Year 2027, the city will adjust its funding model for these projects, moving to 30% cash and 70% borrowed money. This changes the previous 50/50 split. The cash portion will increase by five percentage points each year until it reaches 50% again in Fiscal Year 2031.

Additionally, the Council boosted the wastewater capacity fee for new hookups from $1,000 to $1,700. This fee had previously risen from $600 to $1,000 in Fiscal Year 2026.

Council Deliberations and Dissenting Votes

Councilmembers Gina Driscoll and Corey Givens voted against the sanitation and stormwater hikes. Vice Chair Richie Floyd joined Driscoll and Givens in opposing the ordinance for water, wastewater, and reclaimed water. Floyd has pressed officials to rethink how much of the utility system’s costs should fall on current residents.

The new rates will take effect on October 1, 2026, impacting utility bills for all St. Petersburg residents.