Notice of Intent to Raise Water and Sewer Rates

Notice of Intent to Raise Water and Sewer Rates

The Leon Valley Water and Sewer Utility serves approximately two-thirds of Leon Valley, with the remaining households and businesses relying on the San Antonio Water System. Over time, much of Leon Valley's water and sewer infrastructure has aged, resulting in frequent failures that require costly repairs. Unplanned water main breaks disrupt daily life, cause property damage, and reduce firefighting capabilities, while sewer main breaks risk contaminating the ground with raw sewage.

To address these challenges, the city developed a Water and Sewer Capital Improvements Plan, prioritizing the replacement of aging water and sewer mains and estimating the associated costs.

To fund these critical improvements, the City Council approved a phased water and sewer rate increase. The new rates will be implemented over five years, beginning in October 2025, and will result in a total increase of 26% by 2030. Additionally, the Council adjusted the tiered rate structure to align with the San Antonio Water System's tiers.

Current Rates:

New Water Rates

Meter Availability Charge: 

                         Current                           Proposed

New Water Rates by Tier: 

New Water Irrigation Rates: 

Edwards Aquifer Authority fee:

Current fee:   $0.62/per 1,000 gallons

Increase:        $0.70/per 1,000 gallons.

Texas Commission on Environmental Quality (TCEQ) public health service fee:

Current fee:  $0.20 per month

Increase:        0.5% of the total bill per month.

Commercial Water Rates:

Current Rates:          0—500,000 gallons             $3.70

                                  Above 500,000 gallons       $3.95

New Rates:             0-500,000 gallons

                               FY 2026-27:  $3.95

                               FY 2027-28:  $4.20

                               FY 2028-29:  $4.48

                               FY 2029-30:  $4.78

                               Above 500,000 gallons

                               FY 2026-27:  $4.20

                               FY 2027-28:  $4.50

                               FY 2028-29:  $4.75

                               FY 2029-30   $5.10

Sewer Rates (commercial and residential):

Current monthly service rates:       Minimum bill: $15.08

                                                          Residential (gallons included in minimum bill): 1,000.

                                                          Nonresidential (gallons included in minimum bill): 0

                                                          Volumetric rate: $6.24 per gallon

New Sewer Rates

Minimum bill:                                    

FY 2025-26: $15.38

FY 2026-27: $15.69

FY 2027-28: $16.00

FY 2028-29: $16.32

FY 2029-30: $16.65

Volumetric rate:                               

FY 2025-26: $5.50 per 1,000 gallons

FY 2026-27: $5.86 per 1,000 gallons

FY 2027-28: $6.25 per 1,000 gallons

FY 2028-29: $6.66 per 1,000 gallons

FY 2029-30: $7.10 per 1,000 gallons

Projected Revenue: 

The revised rate structure is projected to increase the Enterprise Fund budget by $1,006,849.75 by the end of the five-year period. Meanwhile, the city plans to allocate a portion of the existing $1,000,000 in capital improvement funds to support a bond (subject to voter approval) or other financing solution. Additionally, the city will actively pursue grants from the Texas Water Development Board and other available sources. Emergency repairs will be handled by staff using the remaining capital funds as necessary.

For more details on the Capital Improvements Plan, click here to view the presentation submitted to the City Council. For inquiries about the new rates, please contact Public Works at (210) 681-1232 and ask for Public Works Director Melinda Moritz or Assistant Director David Dimaline.