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Rate Change and Design

The Board of Trustees granted New Braunfels Utilities’ leadership authority to plan for and seek a three-year rate increase to help fund the costs of 122 capital improvement projects currently in design or are in progress for Fiscal Years 2021 – 2025. As New Braunfels and the NBU service territory continues to experience unprecedented growth, NBU has committed to more than $563 million in capital improvement projects.

The proposed, necessary rate increase plan will help ensure NBU is in regulatory compliance and is prepared to meet the needs of our growing community. 

Water Rates

New Braunfels Utilities rate structure is designed to provide a balance between residential and business rates and strengthen conservation pricing for all water users. With our tiered structure, the less water you use, the lower the rate you pay. The three-year rate plan allows NBU to return to regulatory compliance with Texas Commission on Environmental Quality (TCEQ) by meeting the physical infrastructure necessary to deliver the safest and cleanest water possible. Additionally, the proposed rate plan will allow NBU to maintain prudent financial practices to help keep utility costs as low as possible. The proposed rate increases will help protect NBU’s Bond rating, maintain compliance with NBU’s Financial Policy, and meet the major credit rating agencies criteria for affordable cost and recovery.

Three Year Water Rate Plan
Proposed Rate Comparison

New Braunfels Utilities’ rates are designed to cover the cost of providing essential services. Upgrading existing infrastructure and expanding infrastructure to support our community is vital. Even with NBU’s aggressive Capital Improvement Plan, NBU’s proposed rate change and restructure remain among the lowest in the region.

Proposed 3-Year FY 2021 – FY 2023 Rate Comparisons

Wastewater Rates

Proposed wastewater rate increases will align with the water rate increase three-year schedule.

Three Year Wastewater Rate Plan

Electric Rates

The average electric bill comprises generation, transmission, delivery, Power Cost Recovery Factor (PCRF), and customer usage costs. The PCRF varies each month based on fuel costs to generate electricity and rises and falls as fuel costs move up and down, and does not impact rates. Purchased power and transmission costs are direct pass-through costs, which will not impact electric rates due to the efforts of NBU’s in-house Power Supply department. Since NBU distributes generated power, distribution costs, including delivery and customer charges, are recovered through rate increases.

Three Year Electric Rate Plan