Dayton plans to raise water, sewer rates by more than 8% each of the next three years

Credit: DaytonDailyNews

Dayton’s water and sewer rates are expected to go up by more than 8% in each of the next three years, which administrators say is in response to inflation, unfunded regulatory considerations and the need to invest in the utility systems.

Dayton City Commission this week had the first reading of an ordinance that will establish a new utility rate structure for 2026, 2027 and 2028.

A water tower in East Dayton. CORNELIUS FROLIK / STAFF

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Even though Dayton’s water and sewer rates have increased in 12 out of the last 15 years, Dayton still had the 12th lowest combined water and sewer utility charges of 70 local jurisdictions that were surveyed by the Piqua Utilities Department.

The rate increases will allow the city to continue to make aggressive investments in its water utility system, said Keshia Kinney, the director of Dayton’s water department.

The numbers

Dayton has about 52,170 metered water connections and 51,200 metered sewer connections. The city provides water to more than 400,000 people across the Miami Valley.

Dayton plans to increase water charges by 8.5% annually in 2026, 2027 and 2028. The city proposes to increase sewer rates by 9.5% next year and 9% in both 2027 and 2028. Stormwater charges would go up by 2.5% annually for the next three years.

Dayton estimates that next year the average quarterly increase in water, sewer and stormwater charges will be about $24.

Keshia Kinney, the director of Dayton's water department, at a Dayton City Commission meeting in November 2025. CORNELIUS FROLIK / STAFF

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Last year, residential households’ average quarterly water bills were $133.25 and sewer bills were $108.40. The city increased water rates by 9% in 2023, 2024 and 2025, while sewer rates increased by 7.5% in 2023 and 2024 and 5.5% in 2025.

Montgomery County, which gets its clean water from the city, recently approved 5% rate hikes for water and sewer services.

Dayton water, sewer and stormwater rate changes by year. CONTRIBUTED

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The Piqua Utilities Department conducts an annual survey of quarterly water and sewer rates, and the 2025 survey found that Dayton had the 12th lowest combined costs ($260), out of 70 providers.

Local jurisdictions with the least expensive combined quarterly costs were Minster ($160), Union ($211) and Butler County ($213). The most expensive charges were Yellow Springs ($710), Piqua ($551) and Vandalia ($493).

Dayton officials say the average annual residential water, sewer and stormwater bill will continue to be less than 4.5% of the city’s median household income, which Census survey data indicate is nearly $46,000.

A young girl plays in the fountain at RiverScape MetroPark in downtown Dayton. CORNELIUS FROLIK / STAFF

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Kinney, Dayton’s water director, said Dayton’s water rates are going up because of inflationary increases in goods and services, including chemical products, construction materials and labor costs. She said other factors in the rate hikes include unfunded regulatory pressures and the need to reinvest in water and sewer infrastructure.

Since 2013, the city has taken an aggressive approach toward investing in the water utility systems, which are a regional asset, Kinney said. She said the city has spent about $461 million on water and sanitary system capital projects.

City Commissioner Matt Joseph said the city has done a good job for years of improving its water utility system, which was not always the case.

“I came on the commission at the time when there hadn’t been new investment and we had to make huge investments just to provide clean water,” said Joseph, who joined the city commission in 2005. “This is a case where you pay now or you pay more later.”

Dayton’s water, sewer and stormwater rates did not see any increases in the early 2000s, but the city hiked water and sewer rates by 23% and 15%, respectively, in 2005.

Dayton City Commissioner Darryl Fairchild said the city needs to make investments that protect the water supply and upgrade the system, but he realizes that many residents face significant financial hardship and already struggle to afford basic services and needs.

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