Woodlands Votes on Utility Rate Cap Starting 2027

The Woodlands Utility Rate Cap Referendum asks voters to approve limits on how much the city can raise residential water and electricity charges each year. The measure would apply to all single-family homes and apartment units within city limits and would take effect with the 2027 billing cycle.

Local government records show utility rates have risen an average of 4.8 percent annually over the past five years, according to the 2025 Woodlands Consolidated Budget. Residents have faced these increases at the same time as higher grocery and fuel costs tracked in the same budget documents.

Household Spending Examples

A typical Woodlands household using 8,000 gallons of water and 900 kilowatt-hours of electricity each month currently pays about 184 dollars for those services. Under the proposed cap, the city could raise those combined charges by no more than 2 percent per year, which would add roughly 3.70 dollars monthly in 2027.

Multi-family buildings would see the same percentage limit applied to master-metered accounts, with property managers required to pass the savings through to tenants under existing city disclosure rules. Fixed-income households in the 77380 and 77381 zip codes would receive the largest proportional relief because utilities make up a larger share of their monthly outlays.

Next Steps for Voters

The measure appears on the November 3 ballot. City staff will mail a one-page summary to every residential address by August 15, and the Woodlands Public Library will host two informational sessions on September 10 and October 8. Absentee ballots open on October 12.

If approved, the cap would remain in place through 2030 unless a future council places a repeal measure before voters. The legislation states that any revenue shortfall must be offset by reductions in non-utility city spending rather than new taxes or fees.