Fredericksburg City Council discussed recommended 8% increases in both water and sewer rates for fiscal years 2027 and 2028 during a budget work session on March 31, 2026. The proposals aim to ensure the long-term sustainability of the city’s utility funds.
PFM consultants, working with city staff, presented the rate study. The primary goals are to make the water and sewer funds self-supporting—covering operating expenses and capital needs without general-fund subsidies—and to maintain minimum cash reserves of about 150 days of operating expenses.
