For more than a century, the City of Long Beach has provided clean drinking water, safe natural gas, and a reliable sewer system service to the greater Long Beach community. The Long Beach Utilities Department was established by voters in late 2022, consolidating the city's 100-year-old services for water, natural gas, and sewer into a single department.
Every month, your utility bill is reinvested into the physical infrastructure and day-to-day operations that serves our community. For every dollar paid, four key components are funded:
- Operations & Maintenance: $0.31
Approximately $0.31 keeps utility systems functioning properly
- Labor and Workforce: $0.23
$0.23 supports the skilled professionals who work 24/7, 365 days a year
- Infrasturucture Investments: $0.24
$0.24 helps replace aging pipes and improves system reliability
- Commodity & Distribution: $0.22
$0.22 manages the cost of water supply, natural gas, sewer conveyance, and the systems needed to deliver them
Cost of Service Study
The Long Beach Utilities Department (formerly known as the Long Beach Water Department) contracted with Raftelis to complete a Cost-of-Service Update for its water, reclaimed water, and sewer rates in 2022. The study outlines the associated costs incurred to provide water and sewer services to each customer type. The study also showcases how utility rates are determined based on current revenue, costs, and utility demand.
Budget Planning Sessions - Fiscal Year 2027
The Long Beach Utilities Commission hosted three budget planning sessions to determine the Department's Fiscal Year 2027 budget. All sessions were held during the Board of Public Utilities Commissioners meeting on the following dates:
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Thursday, May 14, 2026
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Thursday, May 28, 2026
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Thursday, June 4, 2026
The department’s FY 27 budget encompasses a $198.5 million Water Fund, $178.2 million Gas Fund, and $62.4 million Sewer Fund that supports critical infrastructure investment, maintenance and emergency repairs, and daily customer services from October 1, 2026, through September 30, 2027. The approved FY 27 budget includes rate increases for residential and business customers across all three utilities. The combined impact of all three utility rate adjustments is estimated to increase the average residential bill by $6.33 per month.
Fiscal Year 2027 Budget Planning Sessions Presentations
FY 2027 Budget Planning Session - May 14, 2026
FY 2027 Budget Planning Session - May 28, 2026
FY2027 Budget Planning Session - June 4, 2026
To see past Budget Planning sessions and summaries, please see the archived accordions at the bottom of this page.
Proposed Natural Gas Rates
The Board has additionally recommended, pending City Council approval, a 2% increase in residential volumetric natural gas rates effective October 1, 2026. For the average residential bill, this translates to an estimated monthly increase of $0.59.
For non-residential gas customers including, small, standard, and large commercial and industrial customers, transportation and exchange of natural gas service, rate increases for specific commercial and industrial rate classes are proposed and will be up for City Council consideration in fall 2026.
For proposed non-residential gas rates, please click here.
Proposed Water and Sewer Rates
The Board approved for City Council consideration, a 6% increase for water rates and an 8% increase for sewer rates effective October 1, 2026. The average monthly water bill for a single-family residence will increase by approximately $4.64 per month. The average sewer bill for a single-family residence will increase by approximately $1.10 per month.
Pursuant to Proposition 218, water and sewer account holders may protest the proposed rate increases via e-mail, mail, and in-person at or before the Proposition 218 hearing on Thursday, August 27, 2026. For more event information on the hearing, please visit our FY 27 Proposition 218 Hearing event webpage. For more information about Proposition 218 and AB 2257, please visit our webpage listed below.
For proposed water rates, please click here.
For proposed sewer rates, please click here.