Houston Mayor John Whitmire announced May 5 that a $5 administration fee would be added to customers' water bills starting in the new fiscal year. The proposal is intended to help the city close a large projected budget shortfall, as well as partially fund the Solid Waste Department's annual budget.
However, City Council members have raised concerns about affordability for residents and questioned the potential for the rate to grow beyond its expected cap of $25 per month by 2032.
What's happening?
Council member Alejandra Salinas, who won her seat in late 2025 to replace Letitia Plummer as an at-large member, published a letter to Whitmire's administration three days after the new fee was announced.
Her letter calls for affordability protections and discounted rates in the proposed solid waste fee, specifically for seniors, low-income residents and disabled veterans.
"To ensure all Houstonians can afford this fee, I urge you to commit now to developing a complementary discounted or reduced rate structure ... tied to future fee increases so affordability protections are built in from the start, rather than addressed years later after costs become unaffordable for working families," the letter reads.
Salinas' letter pointed to the latest Census Bureau data, which shows that more than 21%, or over 500,000 Houston residents, live below the poverty line. The federal poverty guide is roughly $15,960 annually for a single person, or $32,460 for a family of four, according to the Texas Department of Housing and Community Affairs.
Their thoughts
Several council members during the Budget and Fiscal Affairs meeting May 6, which highlighted the five-year budget forecast, also expressed their concern with the potential for the rate to increase beyond affordability standards.
Council member Tiffany Thomas said she was worried that once the fee reached its $25 max, the administration could come back with another rate study to further increase the fee.
A representative from the mayor's office said that while they can promise that during Whitmire's administration the fee will not increase beyond $25, it is possible that the rate could increase after his tenure.
Also of note
Finance Director Melissa Dubowski cleared up some misconceptions during the meeting surrounding the use of the $5 administration fee, which will not actually be used for solid waste pickup but will cover administrative costs, she said.
The fee will not impact salaries, new trucks or increased services. However, Dubowski said that moving the Solid Waste Department to become a municipal utility within the Houston Public Works department will allow the department to work on some efficiencies, including automatic routing and fixing transfer stations.
Final takeaways
- Council members will need to vote every year to increase the fee beyond the initial $5.
- Residents with private trash pickup will be exempt from the administration fee.
- The new fiscal year will start July 1, with the administration fee to begin appearing on homeowner bills at that time.
