Rates

We Have One Job: Your Water
Ute Water’s mission and commitment to the community is to secure and provide the highest quality water to meet the current and future needs of our customers at the lowest reasonable cost.
Each year, Ute Water allocates funds to treat water, replace aging infrastructure, improve redundancy, and secure water for current and future needs.
Tiered Residential Rate Structure
The residential monthly water rate is a $28.00 minimum for the first 3,000 gallons. Drought rates will apply to all bills beginning July 2026 for water used in June 2026. Customers who use or stay below the minimum of 3,000 will continue to pay $28.00.
Drought Rate Comparison - Single Family Residential
| Gallons Used | Current Rate | Drought Rate |
|---|---|---|
| 0 - 3,000 | $28.00 minimum | $28.00 minimum |
| 3,001 - 9,000 | $4.25 per 1,000 gallons | $6.38 per 1,000 gallons |
| 9,001 - 15,000 | $4.85 per 1,000 gallons | $14.55 per 1,000 gallons |
| 15,001 - 21,000 | $5.70 per 1,000 gallons | $17.10 per 1,000 gallons |
| 21,001 - 30,000 | $6.55 per 1,000 gallons | $32.75 per 1,000 gallons |
| Over 30,000 | $11.75 per 1,000 gallons | $58.75 per 1,000 gallons |
Tiered Non-Residential Rate Structure
The non-residential minimum is a $28.00 minimum for the first 3,000 gallons. Drought rates will apply to all bills beginning July 2026 for water used in June 2026. Customers who use or stay below the minimum of 3,000 will continue to pay $28.00.
The table and calculator below are valid for meter sizes 5/8", 3/4", and 1". Any non-residential customers with a meter size over 1" should refer to Exhibit II.
Exhibit IIDrought Rate Comparison - Commercial/Agriculture| Gallons Used | Current Rate | Drought Rate |
|---|---|---|
| 0 - 3,000 | $28.00 minimum | $28.00 minimum |
| 3,001 - 9,000 | $4.25 per 1,000 gallons | $6.38 per 1,000 gallons |
| 9,001 - 15,000 | $4.85 per 1,000 gallons | $14.55 per 1.000 gallons |
| Over 15,000 | $5.70 per 1,000 gallons | $17.10 per 1,000 gallons |
Frequently Asked Questions
Drought rates are temporary water rates designed to encourage conservation and reduce high seasonal water demand during drought conditions. The goal is to reduce strain on the water system and preserve supplies for essential needs and long-term reliability.
The District is implementing drought rates in response to severe and historic drought conditions impacting water supplies across Colorado and the Grand Valley. Several factors contributed to this decision, including:
- Historically low snowpack in Colorado, with some areas below 50% of normal
- Snowmelt and runoff occurring 3–6 weeks earlier than usual
- Streamflows across Colorado are measuring approximately 40% of normal as of late April
- Irrigation water provider restrictions and shortages throughout the Grand Valley
- Reduced basin-wide water storage levels
These conditions have crossed widely recognized drought thresholds and require proactive action to protect long-term water reliability.
The exact effective date for each customer depends on their billing cycle and meter-read route beginning in June. Customers will first see drought-rate impacts on bills received in July.
Drought rates will remain in place until all billing cycles have been billed for the same duration under the drought-rate structure.
The District will continuously evaluate conditions and intends to return to normal rates as soon as it is responsible and sustainable to do so.
Implementing drought rates early allows the District to reduce water use before peak summer demand occurs. Waiting until July or August would leave fewer operational options during the year's hottest, highest-demand period.
Early action helps:
- Protect stored water supplies
- Maintain operational flexibility
- Reduce the likelihood of stricter emergency restrictions later
The District continues to provide reliable water service, but its reliability depends on customer response. Drought rates are being implemented proactively to help avoid more severe emergency measures later if conditions worsen.
The District’s goal is to reduce demand early enough to maintain system reliability and avoid disruptive restrictions whenever possible.
Many irrigation providers across the Grand Valley have already imposed delivery limits and restrictions due to limited water availability.
As irrigation supplies become unavailable, customers who normally irrigate with raw water may rely more heavily on treated municipal water. This increases demand on the District's system, especially during late summer.
Several factors will be evaluated before drought rates are reduced or discontinued, including:
- Recovery in snowpack or runoff conditions
- Stabilized reservoir and storage levels
- Sustained reductions in customer demand
- Reduced reliance on treated water due to restored irrigation supplies
Any decision to remove drought rates will be data-driven and focused on protecting long-term water reliability.
Not necessarily.
Short-term rainfall events can temporarily improve local conditions, but they do not always restore long-term water supply security. The District will evaluate whether improvements are substantial and sustainable before making any changes to drought rates.
No. Drought rates are implemented solely to respond to critical water supply conditions and not to generate revenue. Our goal is that customers will conserve water.
Funds collected beyond normal operating needs will be used to secure additional water resources and/or improve infrastructure and treatment capabilities, helping to ensure system reliability and resilience during prolonged or future drought conditions.
Customers can help by reducing unnecessary water use and practicing efficient outdoor watering. Small conservation efforts across the community can make a significant difference in protecting water supplies during drought conditions.
The District will communicate updates through:
- Billing notices
- The District website
- Public announcements and outreach efforts
- Social media
Customers will receive as much advance notice as possible regarding any changes to drought rates or water-supply conditions.
Tap Fees
For more information on new services, please contact the District at (970) 242-7491.
| Meter Size | 2026 Tap Fees |
|---|---|
| 5/8" | $8,750 |
| 3/4" | $10,800 |
| 1" | $13,400 |
| 1-1/2" | $19,550 |
| 2" | $28,850 |
| 3" | $52,550 |
| 4" | $92,200 |
| 6" | $229,700 |
