The Prescott Valley Town Council in October 2022 contracted with Willdan Financial Services to conduct a study to update the Town’s water and wastewater rates and fees. Willdan has completed comprehensive water and wastewater studies in Arizona and throughout the country. 

During the Thursday, February 9 Council Study Session, Dan Jackson of Willdan focused on information about the Town’s current rates and fees and offered general alternative rate designs. 

“Water is a precious and diminishing natural resource that we can’t live without,” Jackson told the Council. “Water is remarkably low cost in America, but unfortunately that cost is going up. Water utilities across the country are increasing rates at five to six percent per year and that is expected to continue.”

Jackson stated that water and wastewater adjustments are often due to reasons beyond a utility’s control – inflation, capital improvements, wholesale costs, and other indirect expenses. He said 30 to 40 percent of utilities do not cover their costs. Prescott Valley does not subsidize its rates, he said, and his company’s plan will help it remain so. 

Prescott Valley has not adjusted its sewer or water rates since 2017. Along with inflation driving up costs, the Town has plans to pay for $41.6 million in needed capital improvements to its water and wastewater system over the next five years. 

“This combination means a need to implement a new long-term plan” and any rate changes should be completed in a staged process, after careful consideration, Jackson said.

Along with the specific rate plans for review at a later meeting, Council members asked that Willdan also examine possible veteran and senior discounts.

Willdan’s entire presentation may be found on the Town’s website at www.prescottvalley-az.gov under Meetings and Minutes.  

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