Solid Waste Department proposes budget cuts while avoiding rate increases for 2026

Denton's Public Utilities Board is embarking on significant infrastructure improvements for its water and wastewater services, as discussed in their recent meeting on July 14, 2025. The board is initiating large-scale projects that will lead to an increase in debt issuance for the utility department. This move is part of a broader strategy to enhance financial stability and diversify revenue streams.

The board emphasized the importance of a comprehensive review of both expenditures and revenues through a zero-based budgeting process. This review aims to ensure that the rates charged for services are aligned with actual costs, potentially leading to adjustments in fee schedules to improve cost recovery.

In the solid waste and recycling sector, the board reported a positive financial outlook, with a projected surplus of $184,000 for the current fiscal year, a significant improvement over previous forecasts. Notably, there will be no base rate increase for solid waste services in the upcoming fiscal year, a decision attributed to effective cost management and operational efficiencies identified during the budgeting process.

The solid waste department has proposed nearly $1 million in budget reductions, including personnel cuts and reductions in materials and supplies. The department plans to streamline operations by reducing the number of deputy director positions and refurbishing existing containers instead of purchasing new ones. This approach aims to maintain service quality while controlling costs.

The board also discussed the importance of maintaining a healthy fund balance for the solid waste department, which is currently above the target range. The strategy includes revenue funding for vehicle acquisitions to reduce reliance on debt, aligning with the city's long-term financial goals.

Overall, the meeting highlighted Denton's commitment to improving its public utilities while ensuring financial sustainability and efficiency. The board will continue to monitor personnel needs and budgetary requirements in future meetings, ensuring that the community's utility services remain robust and responsive to changing demands.