Council approves 5.5% water rate increase and 6% stormwater hike amid affordability concerns

Wilmington City Council on Thursday approved a substitute ordinance that sets water, sewer and stormwater rates for fiscal 2026, including a 5.5% water rate increase and a 6% stormwater increase.

Council discussed the item separately from the general budget. Councilwoman Harley said the council moved the proposed 6.5% water increase down to 5.5% during deliberations. Administration officials told the council the change will result in a $3.98 monthly increase for a typical residential customer using 4,000 gallons.

Why it matters: The water/sewer fund supports aging infrastructure; administrators and consultants noted maintenance and capital needs that require revenue. Council supporters said the rise is measured and lower than the administration’s original proposal. Opponents said the city should first examine internal charges allocated to the water fund before raising customer rates and criticized the affordability of another annual increase.

Dissent and votes: Councilwoman Willower said the water‑rate increase would “ask our small businesses who are already facing rising cost of utilities … to pay more than their fair taxes” and announced she would not support the measure. Councilwoman Darby also opposed the measure, citing potential shutoffs and harm to vulnerable households. Councilman Owens said he would vote no for similar reasons. The water and stormwater ordinance passed by roll call, 9 yeas to 4 nays.

Administration and protections: Finance and water officials told council members that Wilmington’s water bills remain among the lowest in the region and that delinquencies currently total roughly $600,000; council members also noted existing assistance programs and urged expanded outreach to those programs. The finance chair noted that certain delinquencies and debt service allocations were reviewed and adjusted in committee before the vote.

Next steps: The ordinance takes effect for FY2026 billing cycles and staff will implement outreach to customers about assistance programs and monitor shutoffs and delinquencies. Several council members said they want a longer‑term approach to affordability, including evaluation of how non‑water city expenses are allocated to the water/sewer fund.