Colorado River fears drive Scottsdale rate proposal

Scottsdale Water Bills Headed Up Again — Sound Familiar?

If your Scottsdale water bill has been climbing lately, brace yourself — it may not be done yet. The City Council voted this week to give formal notice of intent to raise water rates again, with a final hearing and vote set for May 19.

City staff is recommending a 4.5% water fee increase for the second consecutive year. The proposed hike is driven by rising electricity costs needed to pump and treat water, aging infrastructure upgrades, and growing uncertainty about the city's long-term water supply from the Colorado River.

That last point deserves attention. Scottsdale gets roughly 70 percent of its water from the Central Arizona Project, the 336-mile canal that delivers Colorado River water across the state. With CAP agreements set to expire and new federal guidelines looming around 2027, the city is essentially paying now to hedge against a drier future. A full percentage point of the proposed increase is earmarked specifically for securing alternative water sources.

City Manager Greg Caton put it plainly in a memo to the council, noting the significant uncertainty surrounding Arizona water resources and expiring Colorado River usage guidelines. Staff will present options including purchasing additional water credits, tapping more groundwater, and expanding conservation programs.

For Scottsdale residents keeping score at home, water rates have gone up every year for several years running. Increases were 4.2% in 2023, 6.3% in 2024, and 4.5% in 2025. Scottsdale is not alone in this trend. Gilbert just approved a 25% water rate increase this month, following a 25% hike last year and a 48% jump the year before that.

The silver lining? Even with the increases, Scottsdale's rates have historically remained on the lower end compared to other Valley cities. Residents who want to weigh in have until May 19.

Sources: ABC15 | East Valley Tribune | Scottsdale.org | City of Scottsdale Water