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Broomfield Water Rates Rise as Tiered Billing Begins

Commercial operators face a new tiered billing structure and recurring rate hikes beginning January 1, 2027.

Updated on Oct. 16, 2026 in Utilities

Isometric editorial illustration of industrial water pipes and a control valve, representing new municipal commercial water billing structures.
Broomfield City Council approved a new four-tier commercial water billing structure and fee increases starting January 1, 2027, to manage usage. AI Illustration. Upload story photo >

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The Broomfield City Council has approved a preliminary ordinance to raise water rates and shift commercial users to a new tiered billing system. These adjustments follow a multi-year financial plan and are set to take effect on January 1, 2027.

Why it matters

Local businesses face rising utility costs as the city transitions from a flat rate model to a tiered commercial structure. These increases are part of a multi-year financial plan that also includes scheduled hikes in development license fees.

The city implemented a 50% water rate increase in 2025, followed by 15% water and sewer and 9% stormwater increases in 2026. Developers will also face a 4% increase in water and sewer license fees in 2027.

The players

Broomfield City Council

The local governing body responsible for municipal policy, utility rate setting, and budgetary planning.

The details

The current flat rate of $3.70 per 1,000 gallons for commercial users will be replaced by a four-tier billing structure designed to manage usage. Beyond the usage changes, businesses will see an increase in development license fees starting in 2027 as the city executes its five-year financial roadmap.

Timeline

  1. 2025: City implemented a 50% water rate increase.

  2. 2026: City implemented 15% water and 9% stormwater rate increases.

  3. October 27, 2026: Scheduled second and final vote on the ordinance.

  4. January 1, 2027: Planned effective date for the new water rates.

  5. 2027-2029: Annual 7% water rate increases scheduled.

Market Landscape

The new water rate ordinance marks the latest phase of the city's five-year financial plan. This strategy aligns the city's infrastructure funding models with broader utility cost-recovery trends seen in surrounding regional municipalities.

Commercial operators should prepare for the transition to a tiered usage model on January 1, 2027, and account for the 4% increase in development license fees. Businesses should consult with their finance teams to project utility expenses based on the upcoming 7% annual increases through 2029.

The takeaway

The move from flat-rate commercial billing to a tiered system necessitates a review of operational water usage patterns. Operators should calculate their projected costs based on the new 7% annual increase schedule to adjust their operating budgets accordingly.

What happens next

The Broomfield City Council is scheduled to hold a final vote on the water rate ordinance on October 27, 2026.

Further reading

For more on local infrastructure management, see Utilities.

Source note: This article includes information reported by Broomfield Enterprise.

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