New utility rates are effective July 1, 2025 for City of Richmond Department of Public Utilities customers

Convenience fees eliminated

Richmond, VA – The City of Richmond Department of Public Utilities announces utility rate changes passed by the Richmond City Council, which will be in effect with the first utility bills customers receive in July 2025. These rate increases are projected to cost the average customer approximately $11.25 more per month.

In an effort to make bill payment easier, more accessible and affordable for everyone and as part of our commitment to affordability and improved customer service, DPU has eliminated the convenience fee for credit card and ACH payments (effective June 30, 2025). This can amount to cost savings of varying degrees, depending on how often customers make payments through MyHQ, EZ-Pay or PromisePay. Also, the single payment limit for credit cards has increased from $500 to $1,000 and $500 to $100,000 for ACH payments.  

Here is a breakdown of the utility rates for natural gas, water, wastewater and stormwater rates, as approved:

NATURAL GAS     
The average residential customer will pay approximately $3.31 more per month for fixed distribution and customer charges. The purchased gas costs (PGC) are not included in this proposal as it is passed on dollar for dollar to the customer, without any markup. 

WATER
A typical water customer using 6 Ccfs (1 Ccf = 100 cubic feet or 7.48 gallons) of water per month will see an increase of $2.36 on their overall water bill. This includes a monthly service charge and a volumetric charge (amount used).

WASTEWATER
A typical wastewater customer using 6 Ccfs (1 Ccf = 100 cubic feet or 7.48 gallons) of wastewater per month will see an increase of $4.54 on their overall wastewater bill. This includes a monthly service charge and a volumetric charge (amount used).

STORMWATER
Stormwater utility rates are based on the amount of impervious area (surfaces that cannot absorb water or that water cannot pass through) within a property. Roofs, walkways, gravel or asphalt driveways and decks are all categorized as impervious areas.

Single family residents pay a flat stormwater fee based on the amount of impervious area that a property contains. Typical residential customers will see a $1.04 increase in their monthly bill. See the size and fees associated with single family residential tier below:

• Tier 1  (1000 or less sq. ft. of impervious area) will pay $3.80 per month
• Tier 2  (1,001 - 2,000 sq. ft. of impervious area) will pay $6.99 per month
• Tier 3  (2,001 – 3,000 sq. ft. of impervious area) will pay $11.30 per month
• Tier 4  (3,001 – 4,000 sq. ft. of impervious area) will pay $16.12 per month
• Tier 5  (4,001 sq. ft. or more of impervious area) will pay $23.38 per month

DPU remains committed to providing safe and reliable utility service while creating exceptional value. If you have fallen behind on your utility payments, DPU is here to help!  Full information and application details on all current programs can be found on our website at rva.gov/public-utilities/billing.  If you need to speak with a live agent about any account services, don’t delay, give us a call today at (804) 646-4646 for assistance.

• PromisePay Payment Plans – DPU partners with PromisePay to bring flexible and convenient payment plans for customers who are behind on their utility bills. All customers with a past due balance may enroll in a PromisePay payment plan for their outstanding balance at Richmond.promise-pay.com. The PromisePay portal offers users the opportunity to select from a variety of payment plan options, set up automatic payments, and provide contact information for payment reminders and other account notifications through text messaging.  

• MetroCare Water Program – This water bill payment assistance program provides funds to eligible families and individuals who are having difficulty paying their primary water bills due to financial concerns. There is an application process and ratepayers can receive up to $500 per applicant if approved.    
• MetroCare Heat Program – This heating bill payment assistance program provides funds to eligible families and individuals who are having trouble paying their primary heating bills due to a financial difficulty or other special hardship. The program period begins December 15. Residents within the natural gas utility’s service territory may apply for funds through MetroCare.
• MetroCare Water Conservation Program – This program provides financial assistance to eligible customers who are homeowners for plumbing repairs and the replacement of water-inefficient appliances with EPA WaterSense products to conserve water and reduce wasteful consumption. This program includes an audit approved by the Department of Energy for all eligible homeowners as a method for improving water use efficiency.     
• SeniorCare Program – This program caters to the unique needs of seniors 65 years of age and older in the Richmond metropolitan community. Senior customers can sign up for this program and take advantage of Winter Service Assurance, no late fees, security deposit waiver program, annual weatherization kit giveaways and third party notification.
• Equal Monthly Payment Plan – The EMPP budget plan spreads your annual gas bill over 12 months. The estimated monthly payment is based on the previous year's natural gas usage.

Richmond, VA - Today, Mayor Danny Avula, Richmond City Council, and Henrico Board of Supervisors met for a joint meeting to discuss building a more resilient water distribution system for the region. The meeting followed Mayor Avula's recent invitation to regional partners to join together in conversations about the future of the region's drinking water system.

President Cynthia Newbille, Richmond City Council President, and Roscoe D. Cooper, III, Henrico County Board of Supervisors Vice Chair, presided over the meeting. Scott Morris, Director of Public Utilities for the City of Richmond, and Bentley Chan, his counterpart in Henrico County, provided an overview of the current status and key challenges facing each locality's drinking water system.

"Today we came together across jurisdictional lines to begin an overdue conversation about how we can tackle one of the most urgent challenges ahead of us as a city and a region. I appreciate the willingness of both Richmond City Council and Henrico Board of Supervisors to have this initial conversation," said Mayor Danny Avula. "This is how progress towards a safe, resilient and redundant water system begins."

The meeting was live-streamed. A recording is available on the City of Richmond's YouTube page. Presentations from Director Morris and Director Chan are available on Richmond's City Council meeting details site. City Council indicated that they would meet July 7th to continue discussions.

The City of Richmond is pleased to announce that S&P Global Ratings has affirmed strong credit ratings for several of the City’s financial obligations. These include an AA rating with a stable outlook for Public Utilities bond issuances, an AA+ rating with a stable outlook for the City’s general obligation bonds, and an AA rating with a stable outlook for the Economic Development Authority.

These ratings reflect a high level of creditworthiness and affirm the City’s strong financial management practices. They also position Richmond to access capital markets at favorable interest rates, which allows the city continued investment in infrastructure, public services, and long-term community development.

While S&P revised its outlook for the City from positive to stable, this change reflects broader economic uncertainties rather than any specific concerns with Richmond’s fiscal health.

“We are pleased to receive these ratings from S&P Global,” said Mayor Danny Avula. “They highlight the City’s responsible financial stewardship and our commitment to maintaining a resilient and efficient utility system for all Richmonders.”

These ratings come at a critical time as the City continues to advance key priorities, including sustainable energy initiatives, upgrades to the water and wastewater systems, and the adoption of innovative technologies to enhance service reliability and environmental sustainability.

Richmond’s strong credit standing is a testament to its sound fiscal policies, effective leadership, and ongoing commitment to delivering dependable, high-quality services to residents and businesses alike.

To read the full report, please visit www.spglobal.com/ratingsdirect.

The City of Richmond is pleased to announce that the Department of Finance has started mailing real estate rebate checks to eligible residents that owned property in 2024. All checks will be in the mail by June 30, 2025. City residents should note that:

• Checks will be mailed to the address on file with the City’s Department of Finance.
• Residents that qualify do not need to take any additional action.
• Most recipients can expect to receive their checks by early July, depending on postal delivery times.

Additionally, the City is advising property owners that rebate checks with payee names exceeding 35 characters may require additional processing at some financial institutions. While this character limitation is standard with many check-printing systems, the City is proactively informing residents that some checks may need reprocessing.

Property owners with questions about their eligibility, who need to update their mailing address, or have issues cashing their checks should contact RVA311 by dialing 3-1-1 within the city limits or submitting a ticket online at rva311.com.

Previously, the city announced that incorrect checks were mailed out that listed “Hartshorn Community Council” as the payee. This caused a delay in mailing the remainder of the rebate checks as data were verified.

The rebate, approved by City Council in 2024, aims to provide financial relief amid rising property values and housing costs.

RICHMOND, VA - Earlier this week, the Office of the City Auditor (OCA) released findings from a comprehensive audit of the City of Richmond's purchasing card (p-card) program. The audit includes a review of the program and employee card usage, both of which lacked internal controls-such as employees submitting transactions with missing and insufficient documentation, approver capacity overload, and inconsistent policy enforcement, among others-which allowed for purchasing and payment to be misaligned with program goals.

The report also includes a number of recommendations, several of which are already completed or in progress. These recommendations include steps such as:

• A relaunch of the p-card program that incorporates audit findings and establishes strong foundational controls.

• Rewrite and strengthen program policies and guidelines to align with industry best practices

• Strengthening approver oversight

• Restructure roles and responsibilities to avoid "excessive concentration of duties"

• Improve data-driven monitoring of purchasing activities

• Seek to prohibit the use of third-party pay applications such as Venmo and PayPal.

The full audit report, complete with recommendations from the City Auditor, is available on the City Auditor's website at https://rva.gov/office-city-auditor/reports-issued/

For the latest information on the City's progress in overhauling its p-card program, please visit the p-card progress tracker.

About OCA

The OCA is an independent office organized under the Richmond City Council which is charged with strengthening transparency and accountability in local government through independent, impactful audits that enhance public trust and improve City operations.

Audits from OCA evaluate the effectiveness, efficiency, and compliance of City programs and services and offer recommendations to improve performance, safeguard public resources, and promote sound governance.