Fredericton City Council has approved, in principle, the 2027 water and sewer budget and adopted a long-term financial plan for the municipal utility. Both are part of the annual budget process, which will continue through November.
The budget and financial plan support the delivery of safe and reliable drinking water and responsible wastewater treatment for city residents and businesses.
A five per cent rate increase is included in the 2027 budget to renew infrastructure and invest in Fredericton’s continued growth.
The long-term financial plan will help guide future investment and ensure a safe, efficient, and reliable water and sewer system for the next 20 years. The plan establishes a framework for financial decision-making while continuing to prioritize infrastructure renewal, growth-related investments, and future rate decisions.
"With nearly 19,000 service connections and 433 kilometers of water mains, Fredericton's water and sewer system supports residents and businesses every day," said Councillor Colin Ebbett, Chair of the City's Municipal Finance and Corporate Administration Committee. 'We are prioritizing affordable, reliable service and responsible long-term planning for residents. A modest increase will maintain our rates among the lowest in NB while protecting infrastructure and reducing the risk of service disruptions."
The 2027 budget anticipates $27.6 million in revenue generated through user fees. These revenues will support the operation and maintenance of the City’s water and wastewater systems, while also funding ongoing capital improvements.
In addition, the Water and Sewer Utility expects to receive $15 million in provincial and federal funding during the upcoming year. This funding will accelerate infrastructure renewal efforts and complement the Utility’s own investment in water and sewer capital projects.
The average five per cent rate increase is comprised of the following individual rate changes:
• Quarterly service charge increases from $77.50 to $81.38
• Commodity charge per cubic meter rises from $1.04 to $1.09
• Bulk water rate increases from $2.55 to $2.65
Other fees contained within the budget will not change. Private hydrant fees will remain $373.00 + HST and the fire protection fee will remain $193.50 + HST.
Fredericton residents pay among the lowest water and sewer rates in New Brunswick. With the increase, a typical household will pay approximately $2.97 per day for clean, safe drinking water and environmentally sound wastewater treatment.
Fredericton prides itself on managing its water utility responsibly and proactively to deliver a high-quality service to residents and businesses. The City’s water was recently judged as the best and cleanest tasting in North America by the American Water Works Association (AWWA), the world’s largest non-profit, scientific and educational association dedicated to managing and treating water.
Municipal water and sewer services are required by provincial legislation to be self-funded through rates.
City Council will hold a final vote on the 2027 water and sewer budget in November as part of the City’s annual budget process and final adoption.
More information about the City of Fredericton’s budget is available online.