RESOLUTION NO. 4637 A RESOLUTION OF THE COMMON COUNCIL OF THE TOWN OF GILBERT, ARIZONA, ESTABLISHING INCREASED WATER SERVICE CHARGES EFFECTIVE WITH BILLINGS GENERATED AFTER MARCH 31, 2026; AND PROVIDING FOR REPEAL OF CONFLICTING RESOLUTIONS. WHEREAS, Chapter 66, Section 66-71 of the Gilbert Town Code authorizes the Town Council to establish utility rates by resolution; and WHEREAS, it is the policy of the Council to establish rates for enterprise operations sufficient to recover the costs of providing the services; and WHEREAS, staff has prepared an analysis dated December 18, 2025 which indicates that water service charges will need to be increased to offset increases in the operating costs of the system, to support the capital improvement funding requirements established in the 2026-2030 Capital Improvement Program, and to continue the funding of the water system's repair and replacement fund to assure the long-term financial stability of Gilbert's Water System; and WHEREAS, in accordance with A.R.S. §§ 9-499.15 and 9-511.01, the Council at its regular meeting on December 16, 2025 directed staff to publish a Notice of Intent to Increase Certain Water and Trash Fees and Rates and set a public hearing date of February 17, 2026, and such Notice was posted on Gilbert's website beginning December 18, 2026 and in the Arizona Business Gazette on January 23, 2026. NOW, THEREFORE, BE IT RESOLVED by the Mayor and Common Council of the Town of Gilbert, Arizona, that the following Water Service charges are established: Section 1. Base Rates Monthly base rates for meter sizes shall be as follows: Option A Meter Size Monthly Rate Effective 4/1/26 3/4-inch $48.16 1-inch $80.43 1 ½-inch $160.38 2-inch $256.71 3-inch $513.89 4-inch $802.87 6-inch $1,605.26 8-inch $2,568.51 10-inch $3,691.66 12-inch $6,903.13 Section 2. Consumption Rates - Residential Monthly consumption rates for single family residential and multifamily customers with a combined domestic and landscape meter shall be as follows: Option A Consumption Consumption Rate per 1,000 Gallons Effective 4/1/26 0 – 8,000 gallons $3.22 8,001 – 20,000 gallons $4.19 20,001 – 30,000 gallons $6.49 30,001 gallons or more $10.38 Section 3. Consumption Rates – Non-Single Family Residential Domestic Option A: Effective 4/1/26 the Monthly consumption rate for non-single family domestic water customers shall be $3.76 per 1,000 gallons of consumption. Section 4. Consumption Rates - Landscape Option A Effective 4/1/26 the Monthly consumption rate for landscape water customers shall be $6.58 per 1,000 gallons of consumption. Section 5. Drought Surcharge Pursuant to Town Code Sec 66-380-384 a Drought Surcharge of $.55 per 1,000 gallons for Residential consumption greater than 8,000 gallons per month and for Landscape consumption is established. The Drought Surcharge will only be enforced when the Town Council adopts a resolution declaring Stage 3 or 4 of the Water Supply Reduction Management Plan. Section 6. Effective Date. These rates and fees are effective for any water bill generated after March 31, 2026. FURTHER RESOLVED, that all resolutions and parts of resolutions in conflict with this Resolution are hereby repealed. PASSED AND ADOPTED by the Common Council of the Town of Gilbert, Arizona, this 17th day of February, 2026. Scott Anderson, Mayor ATTEST: Chaveli Herrera, Town Clerk APPROVED AS TO FORM: Christopher W. Payne, Town Attorney I hereby certify the above foregoing Resolution No. 4637 was duly passed by the Council of the Town of Gilbert, Arizona, at a regular meeting held on the 17th day of February, 2026, and that quorum was present thereat and that the vote thereon was 4 ayes and 3 nays and 0 abstentions. 0 Council members were absent or excused. Chaveli Herrera, Town Clerk Pub: Feb 26, Mar 5, 2026