Scottsdale Proposition 412 Would Adjust Water Rates and Add to Household Utility Costs

Scottsdale voters will decide Proposition 412 on the November 2026 ballot. The measure would authorize the city to increase water utility rates by 9 percent over two years to fund pipe replacements in the downtown and McCormick Ranch areas.

Why the measure reaches the ballot now

The proposal follows a 2025 city engineering assessment that identified 120 miles of aging water mains needing replacement by 2030. Scottsdale water department records show current rates generate 82 million dollars annually, which covers operations but falls short of the 45 million dollars in projected capital costs over the next five years.

Residents in single-family homes would see the largest direct effect. An average household using 12,000 gallons per month would pay an extra 132 dollars per year once both phases take effect in 2027 and 2028. Apartment renters would face smaller increases passed through by property owners, typically 6 to 8 dollars monthly according to the same rate study.

Local business owners along Scottsdale Road would also absorb higher charges. The city estimates commercial accounts would pay an additional 340 dollars annually on average, costs that some operators may offset by raising prices on goods and services sold inside city limits.

Next steps after the vote

If approved, the rate changes would begin in January 2027 with the first 4.5 percent increase. The Scottsdale City Council would review actual collections each spring and could adjust the second phase if revenue exceeds projections. The city clerk will mail voter information pamphlets by early October that include the full rate schedule and examples for different property types.

City staff have scheduled three public workshops in August at the Scottsdale Civic Center to explain the calculation method used in the rate study. Attendance records from similar sessions last year show between 80 and 120 residents per meeting.