New Smyrna Beach Utility Bills to Climb, $88M Bond Approved | The Locally Times
Residents face higher water, electric, and wastewater costs, though the exact impact on monthly bills is undisclosed, as the Utilities Commission approves an $88 million bond for system upgrades.
New Smyrna Beach residents are bracing for higher utility bills and a massive $88 million bond to fund system upgrades, following actions taken by the Utilities Commission last Saturday. The Commission formalized rate modifications for water, wastewater, electric, and irrigation services, and approved plans to issue revenue bonds for system improvements. These decisions, made through a series of resolutions on March 28, 2026, implement financial adjustments previously reported by The Locally Times. The New Smyrna Beach Utilities Commission (NSBU) adopted three resolutions that directly impact local utility services and infrastructure funding. Resolution 2026-01 adjusts rates, charges, and fees for water, irrigation, wastewater, and reclaimed water services, while Resolution 2026-02 does the same for electric service. Crucially, the resolutions confirm these rate adjustments but do not detail the specific percentage or dollar amount of the increases, leaving residents without immediate clarity on the exact financial impact. ## Utility Rate Hikes Formalized, Impact Unknown The Utilities Commission's Resolution 2026-01 outlines changes to rates, charges, and fees covering water, irrigation, wastewater, and reclaimed water services. A separate measure, Resolution 2026-02, modifies electric service rates. Both resolutions include findings and set an effective date, though the precise date for residents to see these changes reflected on their bills is not specified. These modifications follow the NSBU's approval of its proposed budget estimate for the fiscal year ending September 30, 2026, which occurred on September 30, 2025, according to Commission records. That budget estimate requires New Smyrna Beach City Commission approval by ordinance. The lack of specific rate adjustments in the resolutions means residents remain in the dark about the exact financial impact on their monthly utility expenses. The Utilities Commission's actions signal a broad adjustment across essential services, affecting all customers of the New Smyrna Beach utility system. ## $88 Million Bond Targets Undisclosed Upgrades Alongside the rate modifications, the Utilities Commission passed Resolution 2026-03, authorizing the sale of Utilities System Revenue Bonds, Series 2026, for an amount not to exceed $88,000,000. The resolution supplements Resolution No. 2020-02, adopted by the Utilities Commission on March 23, 2020, indicating a continuation of long-term financial strategies. However, the specific projects to be funded by this $88 million bond issuance are not detailed in the resolution. The Utilities Commission did approve its Capital Improvement Plan (CIP) for Fiscal Years 2026-2030 and 2031-2035 on September 30, 2025. This comprehensive plan, which also awaits City Commission approval, likely outlines the broader scope of improvements and additions to the utility system that the bond proceeds are intended to support. The bond authorization includes provisions for the rights, security, and remedies of bondholders, and authorizes Commission officers to determine the details of a negotiated sale. ## Long-Term Strategy Relies on Debt and City Approval The authorization of the $88 million bond issuance follows a pattern of significant capital investment in the city's utility infrastructure. In 2025, the Utilities Commission authorized Resolution 2025-01, providing for the issuance of Utility System Improvement Revenue Bonds, Series 2025, in an amount not to exceed $130,000,000. That earlier bond was intended to finance or reimburse costs for the acquisition and construction of additions and improvements to the utility system, and also requested approval by the City of New Smyrna Beach. These successive bond issuances highlight the Utilities Commission's strategy to finance ongoing and future utility system upgrades through revenue bonds. Both the proposed budget estimate for FY2026 and the Capital Improvement Plan require approval by the New Smyrna Beach City Commission through an ordinance. This means the City Commission will have a key role in the final adoption of the financial framework underpinning these utility rate adjustments and capital projects. The Utilities Commission's actions on March 28, 2026, and September 30, 2025, set the stage for these upcoming City Commission decisions, which will finalize the financial commitments and their impact on residents. ## Key Questions Remain for Residents **How will these changes affect my utility bill?** The Utilities Commission has approved modifications to rates, charges, and fees for water, irrigation, wastewater, reclaimed water, and electric services, but the resolutions do not specify the exact percentage or dollar amount of these increases. **When will the City Commission review these plans?** The Utilities Commission's proposed budget estimate for the fiscal year ending September 30, 2026, and its Capital Improvement Plan require approval by the New Smyrna Beach City Commission by ordinance, though a specific date for this review is not provided in the records.