Mesa City Council Greenlights Universal Utility Rate Increases

By Matthew Holloway |

This week, Mayor John Giles and the Mesa City Council approved significant increases in utility rates and fees, impacting solid waste removal, electricity, gas, water, and wastewater services. The decision arose during a lengthy city council meeting attended by over two dozen citizens who expressed their concerns. Mesa, which lacks a primary property tax, relies heavily on these utility charges for funding city services.

The approved changes include electric rate increases of up to 39% for Winter Tier 2 residential usage, along with a $2.75 monthly service charge hike. Non-residential users will experience increases ranging from 2% to 6%. Solid waste disposal rates for homes will rise by 5.5%, while commercial rates will see a 6.5% jump. Gas rates will rise by 6% to 15% for residential users, and between 9% and 25% for non-residential accounts. Water rates will also change, with residential increases set at 4-9%, while large commercial users will experience increases up to 19.5%. Wastewater charges will go up by 7.5% for households and 8.5% for businesses.

According to city staff, the typical residential bill for water, wastewater, and solid waste is projected to increase by approximately $5.60, bringing the average cost from $100.21 to $105.81.

In a previous meeting, Giles defended the proposed rate hikes, highlighting that Mesa’s increases are more moderate compared to other Valley cities. “Cities are increasing water charges by 25% and wastewater charges by 95%. We’re not doing anything remotely like that,” he stated, acknowledging residents’ frustrations.

However, local resident Kevin Medema, who organized a petition against the utility rate hikes signed by 2,000 individuals, voiced his concerns about the financial strain on residents. He urged the council to reconsider the increases, emphasizing the city’s significant reserve goals in utility accounts.

Lynda Patrick-Hayes, another Mesa resident, remarked that the city has a spending problem rather than a revenue problem and called for cuts to utility rates. She urged investment in reducing government waste instead.

Giles responded to these calls, explaining that Mesa’s unique financial model necessitates reliance on utility charges to fund services, as past attempts to reintroduce a primary property tax have failed since it was eliminated in 1945. “The reality of math means we have to raise utility charges,” he reiterated.

State Representative Barbara Parker, advocating for her constituents, highlighted the financial struggles many residents face and criticized the council’s threats to cut public safety funding. “It’s disingenuous to use fear tactics involving police and fire funding,” she asserted, appealing for responsible financial management.

Despite the objections, the city council unanimously approved the rate increases. Mayor Giles concluded, “I know this is not appreciated by this crowd to the extent we’d like, but it’s the facts. For those reasons, I am compelled by math and the reality of the situation to support this increase.”

Matthew Holloway is a reporter for AZ Free News. Contact him via X or email tips to Matthew@azfreenews.com.