Tacoma Utility Bills Could Rise Again in 2027 and 2028

Tacoma households could face another round of utility increases in 2027 and 2028, with separate proposals affecting electricity, water, garbage, wastewater and stormwater charges. The new rates are not final, but the proposals have advanced far enough to show customers approximately what they may pay.

Under Tacoma Public Utilities’ proposal, the average residential power bill would increase 6.2% in 2027—about $7.40 per month—and another 6.2%, or approximately $8.59 per month, in 2028. The power increases would take effect in April of each year.

For an average residential customer, that would raise the monthly power bill from approximately $119.74 in 2026 to $127.13 in 2027 and $135.72 in 2028. By the end of the two-year period, the average customer would be paying nearly $16 more each month for electricity than today.

Tacoma Water is proposing increases of 5.6% in both years. For customers inside Tacoma, the average monthly increase is estimated at $2.99 in 2027 and another $3.17 in 2028. Unlike the power adjustments, the water increases would begin in January of each year. Actual bills will vary according to household usage.

Environmental Services is developing separate proposals covering Tacoma’s other city utility charges. Those plans call for annual revenue increases of 5% for solid waste, 6.5% for wastewater and 7.5% for stormwater in both 2027 and 2028. According to a review of the preliminary proposals, the combined monthly bill for those three services would rise from an estimated $176.80 in 2026 to $187.23 in 2027 and $198.82 in 2028 for an average residential customer.

Officials attribute the proposed increases to rising construction and operating costs, aging infrastructure, new regulatory requirements and the need to replace or maintain utility equipment. Planned work includes electrical poles, transformers, substations, drinking-water pipes and a $104.9 million sewer replacement project along Puyallup Avenue.

Tacoma Power is also anticipating a $76 million decline in wholesale electricity revenue during the next budget period. The utility plans to draw approximately $77 million from operating reserves and its rate-stabilization fund, which reduces—but does not eliminate—the amount that must be collected from customers.

Some Tacoma businesses could see larger percentage increases. Small general-business power customers would face proposed increases of 8.1% in each year, while the general-business rate would rise 10.8% annually. Commercial water rates inside Tacoma would increase an estimated 5% in both years.

The proposals remain in the public-outreach stage through September. The Public Utility Board is expected to hold readings and vote on the power and water budget and rates in October, followed by Tacoma City Council consideration in November and December. Residents can review the proposals and submit comments directly to Tacoma Public Utilities.

Tacoma Public Utilities also offers budget billing, conservation resources and payment-assistance programs for customers who may have difficulty absorbing the increases.