Long Beach Board of Utilities Commission Approves FY27 Budget

Published on June 08, 2026

Contact: Joy Contreras
Public Information Officer
Phone: (562) 355-1201
Email: joy.contreras@lbutilities.org

Long Beach, CA – On June 4, 2026, the Long Beach Board of Utilities Commissioners (Board) adopted the Long Beach Utilities Department budget for Fiscal Year 2027 (FY 27). The $439.1 million budget funds continued capital improvements for water, gas, and sewer infrastructure, supports efforts on increasing local groundwater supply, and covers expenses for emergency repairs and scheduled maintenance for 4,000 miles of main and lateral water, sewer, and natural gas pipelines. A detailed list of revenues and expenditures can be found here.

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 Long Beach Utilities Board of Utilities Commission is committed to transparency in how proposed water, sewer, and natural gas rates are determined. We value keeping our customers informed and ensuring they understand that affordability is a central consideration in our decision-making,” said Board President Kevin Scott. “Rate increases decisions are guided by a comprehensive evaluation of operational costs, efficiency opportunities, debt obligations, and long-term infrastructure needs, therefore helping us balance affordability today with reliable utility services in the future.”

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.

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 August 27, 2026. Notifications will be sent to customers 45 days in advance of the hearing date. To view more information on Long Beach Utilities’ Proposition 218 hearing process, please visit LBUtilities.org/Budget

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 a detailed list of proposed natural gas rate schedules, please visit LBUtilities.org/Budget.

The Long Beach Utilities Department held three separate budget planning sessions in-person on May 14, May 28, and June 4, 2026. Bill assistance is available for qualified account holders, based on income level. Utility bill assistance in California is based on federal poverty levels. The U.S. Department of Health and Human Services updates poverty thresholds annually; income eligibility guidelines for utility assistance are: