The proposal would replace the current tiered system, where customers who use less water pay a lower rate, and those who use more water pay more.

SAN DIEGO — San Diegans who use less water could see their monthly water bills increase in 2027 due to a proposed rate change that could eliminate the City’s tiered pricing system. 

The proposal, prompted by a court ruling in Patz, et al. v. City of San Diego, 113 Cal. App. 5th 225 (2025), would replace the current tiered system, where customers who use less water pay a lower rate, and those who use more water pay more. 



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“The ruling came out a year ago, but the City just recently agreed on a settlement,” Michael Frattali, a San Diego resident and retired City employee who used to work on creating water rates, said. 

The 2025 court ruling against the City of San Diego determined the City’s current rate structure does not adhere to Proposition 218. 

Proposition 218 matters for water because it imposes limitations on fees. In short, it says everybody is supposed to pay fees in proportion to the cost of what they get in return. 

If the proposed rate adjustments are approved, all customers would pay the same rate, regardless of how much water they use. 

“You’re going to be charged for the amount of water you used. What is changing is that the first gallon you use will cost the same as the last gallon you used. So, if you only use water for cooking and cleaning and things like that, you’re going to pay more. If you use water for cooking, and cleaning, and watering your lawn and filling the pool, you’re still going to pay more, but you’re [going to] be paying a slightly lower rate for all of the water you use,” Frattali said. 

The proposal was discussed during a City Council meeting on July 14. 

“This is an overtly anti-equitable ruling,” Councilman Sean Elo-Rivera said during the meeting. 

Under City estimates shared at the meeting, single-family homes with low water usage would see their monthly bills increase by about 7%, or an average of $5.62 more each month. 

Meanwhile, single-family homes with high water usage would see their monthly bills decrease by nearly 6%, saving an average of $19.52 per month. 

The San Diego City Council is scheduled to hear public comment before voting on the proposal on Oct. 6.

If approved, the new rates would take effect in January.