Trinidad council debates planned 25% utility rate increases

At a work session this week, Trinidad city council members debated whether to carry forward utility rate increases already planned and budgeted by the previous council, a package that city officials say amounts to roughly 25% across five departments and represents the largest single-year adjustment in a 20-year schedule.

City manager Tara Marshall outlined that the increases were included in the 2026 budget approved Dec. 16, 2025, and framed the council’s role as a verification of legally enacted annual adjustments. “We have annual increases that are planned in each of the ordinances,” Marshall said. “Council’s responsibility in reviewing these ordinances is to verify if the increases are needed.” Officials noted 2026 as particularly significant, calling it “the biggest hit.”

Marshall explained the mechanics: five ordinances cover power and light, landfill, water, gas and sewer; they require annual verification and, if altered, trigger budget adjustments and customer notifications. The council faces a compressed timeline after recent membership changes. A first reading is scheduled Jan. 20, followed by a second reading and public hearing Feb. 17. If adopted, the new rates are set to take effect March 1. Any change to the planned increases would require notifying the municipality’s roughly 4,600 customers and would change budgeted revenue that the city relied on during the October–December budget review.

Officials described the proposed adjustments by department: power and light would rise 7.5% for commercial users and 4% for residential users to address deficits; landfill would see a modest 3% bump that drew little opposition; water would increase 5%, seen as important amid operating shortfalls worsened by a warm winter and lower sales; gas would carry a 2.5% increase limited to the delivery charge; and sewer would rise 7% to cover wastewater permit costs.

Council members voiced a range of positions, from calls for tighter fiscal discipline and cuts to arguments that increases are necessary to maintain services and fund infrastructure. Marshall cautioned that gathering more information could continue for months without fully resolving the core dilemma. “We could talk about this for four or five months. We could give you new information every two weeks. I still don’t know if we can really satisfy the difficulty of the decision you’re being asked to make,” she said.

For Trinidadians and local businesses, the outcome will affect monthly bills and the city’s capital and operating plans. Because the 2026 budget assumed these increases, any rollback would shrink projected revenues and force adjustments elsewhere. The council will hold a public hearing Feb. 17 before final action, leaving residents an opportunity to weigh in as officials balance legal obligations, long-term planning, and near-term affordability.