US Water Bills Surge, Adding Nearly $200 Annually to Household Expenses

The cost of everyday drinking water in the United States has surged by 62 percent over the past decade, adding nearly $200 annually to the average household's bill, according to a new analysis by the nonprofit advocacy group Food & Water Watch. This increase is outpacing overall inflation and grocery price hikes.

The analysis examined the 500 largest community water systems, serving approximately 45 percent of the U.S. population. Researchers calculated the typical household's annual cost for 60,000 gallons of water, excluding wastewater and stormwater charges. The national average bill in 2025 for this amount of water was $531, a significant jump from a decade prior.

Some regions experienced even more dramatic cost increases. New Hampshire saw its average water bills climb 177 percent over the decade, followed by Oregon with a 114 percent rise and West Virginia with a 95 percent increase. At the utility level, Daly City, California, recorded the largest jump, with bills soaring 308 percent between 2015 and 2025. However, nine systems did see decreases in water bills, with Orange County, Florida, experiencing a 26 percent drop.

Significant cost disparities exist across the country. In 2025, the average system charged $531 annually, but bills ranged from $133 in Hempstead, New York, to a high of $1,416 in San Jose, California. California alone accounted for more than half of the 25 most expensive utilities, a trend attributed to persistent drought, water-supply pressures, and substantial investments in alternative sources and infrastructure.

Infrastructure and Operational Costs

The rising costs are attributed, in part, to the expense of replacing aging pipes and upgrading treatment facilities to meet water quality standards and prepare for severe weather events. The Environmental Protection Agency (EPA) estimates that U.S. public drinking-water systems will require $625 billion in infrastructure investment over the next 20 years. The American Society of Civil Engineers has also warned about the aging and underfunded nature of the nation's drinking-water infrastructure, noting that federal appropriations for the Drinking Water State Revolving Fund have fallen short of authorized levels.

Utilities face a difficult choice: secure more funding, reduce spending, or pass costs onto consumers. Increasingly, customers are bearing the brunt of these expenses.

Public vs. Private Systems

The analysis also highlighted a notable difference in costs between publicly owned and for-profit water systems. Households served by corporate water companies paid an average of $823 for water in 2025, compared to $494 at publicly owned systems—a difference of 67 percent. Private utilities were also overrepresented among the most expensive systems, constituting 44 percent of the top 25 most expensive and 70 percent of the top 10, despite making up only 11 percent of the systems studied.

Food & Water Watch argues that water affordability is becoming a significant issue for American families. The analysis found that water bills were unaffordable for low-income households in 93 percent of the systems examined. West Virginia had the highest average annual bills at $1,383, while Idaho had the lowest at $286.

As families grapple with rising costs for rent, groceries, and energy, even seemingly small increases in water bills can accumulate. With mounting expenses from aging infrastructure, water quality mandates, and climate challenges, the cost of delivering tap water to homes is expected to continue its upward trend.