Queen Creek is in the middle of a 60-day public process for a new water resource fee. As proposed for year one, it is $3.07 per 1,000 gallons of water used, with a public hearing and possible Town Council action on Wednesday, Nov. 18, 2026. Before credits, a household using 10,000 gallons a month would pay $30.70. A household on the Town's sewer system would get a proposed residential wastewater credit that lowers the same month to $18.42. A home on septic or a private sewer doesn't qualify for that credit. According to the Queen Creek Tribune, that's about half of the Town's water customers.
If you're comparing two Queen Creek homes at similar prices, how each one handles wastewater could soon matter on the monthly budget. To see why, start with a line most buyers skim past on a property tax statement.
The tax bill line that has been running small since 2018
Arizona's 1980 Groundwater Management Act requires that groundwater pumped here be replenished. Nearly all Queen Creek water customers handle that through enrollment in the Central Arizona Groundwater Replenishment District, known as CAGRD. According to CAGRD's own FAQ, residential subdivisions developed after February 1995 can't rely only on unreplenished groundwater, so the developer enrolled the homes. The owner then pays the replenishment cost as a line item on the property tax bill, and the county passes that money along to CAGRD. CAGRD also says a homeowner can't take a home out of the district under current law. The charge is set by how much groundwater your water provider reports for your parcel, so a household that uses more water pays more than the house next door.
The current rates come from the CAP board-approved CAGRD rate schedule. For 2026/27 in the Phoenix Active Management Area, the total assessment rate is $944 per acre-foot, plus annual Member Land dues of $29.47 per lot.
Queen Creek adds a local twist. In 2018 the Town Council began applying groundwater credits at the maximum allowable amount to reduce customers' CAGRD assessments, and the Town called it an interim measure. The Town says that has saved customers $71 million. Today, 89% of Town water customers see a CAGRD assessment on their annual property tax bill. So the CAGRD figure on a Queen Creek resale's recent tax bill shows replenishment after the Town's offset. It isn't the full cost of replacing that home's water.
Why the cost is moving to the water bill
In 2025 the Town bought 1.7 million acre-feet of water from the Harquahala Valley, a state-designated water storage and transportation basin. The water will move east through the existing CAP canal, which passes the eastern edge of Queen Creek. The Town plans a portfolio of roughly 68% Harquahala water, 16% effluent, 10% Colorado River water through CAP and 6% local groundwater. The Queen Creek Tribune describes the whole effort as a 3.7 million acre-foot, $730 million plan to supply the town for the next century.
That water was financed with debt. The Town says its certificates of participation sale closed January 15, 2026 at 4.9% interest, with annual debt service of $12.1 million to $14.8 million. The proposed water resource fee is the dedicated way to pay it back. It would fund the long-term supply, the related infrastructure and the remaining replenishment, and it would eventually replace the CAGRD assessment completely, including the part the Town has been covering since 2018. Deputy city manager and CFO Scott McCarty told the Tribune that the fees are for water replenishment, not consumption.
Replenishment used to sit on the tax bill as a CAGRD line item, partly covered by the Town. Under the proposal, it moves to a usage-based fee on the water bill, and that's where the sewer connection comes in.
The credit that divides the bill
The Town uses all of its treated wastewater to offset groundwater pumping. The proposed credit reflects the water that comes back to the Town through its sewer system, and it's set at 40% for residential sewer customers. Homes on septic or private sewer systems aren't eligible, according to the Tribune. The Town is also looking at a separate septic credit. It's based on the 4% incidental recharge credit the Arizona Department of Water Resources allows, which works out to 195 acre-feet in year one, and staff are slated to bring the Council details on how to apply it on Nov. 4. Until then, the $30.70 figure below for septic and private-sewer homes is the price before any septic credit, and the final number could be lower.
Here's how the numbers line up, using Town figures:
| Scenario | Town sewer customer | Septic or private sewer customer |
|---|---|---|
| Year one, 10,000 gallons a month, as proposed | $18.42 | $30.70 before any septic credit |
| Average single-family monthly fee, start of six-year projection | $16 | $40 |
| Average single-family monthly fee, end of six-year projection | $57 | $138 |
The first row comes from the Town's October 2026 release. The projection rows are Town projections reported by the Queen Creek Tribune after the Sept. 16 Council meeting.
Two caveats keep that table honest. First, only year one is on the table in November. McCarty told the Tribune that the Council will come back every year for the first six years, and that forecasting six years out is as far as it's responsible to go. Second, the fee replaces the CAGRD assessment. A household's net change depends on what it pays CAGRD now, and the Town's calculator estimates that savings too.
Single-family homes make up 96% of Queen Creek's water customers, so nearly every account this fee touches belongs to a household. On a listing, "sewer" or "septic" used to be a question about inspections and maintenance. Under this proposal, it's also a recurring monthly cost.
The second place the fee shows up: HOA dues
A household's own water bill isn't the only place this lands. The Tribune reported that HOA communities account for 19% of replenishment obligations, and that aggregate HOA bills are projected to grow from $1.9 million in year one to $15.2 million in year six without conservation. An earlier Tribune report on the Sept. 2 presentation covered concerns that those HOA increases could be passed on to homeowners. The Town has scheduled an informational meeting for HOA managers and board members on Oct. 13 at 4 p.m. in the Community Chambers.
Irrigation is being handled differently. The Council approved an agreement to start moving the Town's irrigation customers to the Queen Creek Irrigation District, and it told staff to apply the fee only to potable water deliveries. The Tribune had reported that county-island residents who flood-irrigate raised concerns about annual fees that could reach $200,000.
New construction carries a different version of the cost
Buyers comparing a resale with a new build will run into a separate set of charges. The Council is considering a higher water capacity fee and a new Development Water Resource Capacity Fee. These are one-time charges paid by new development, and they'd take effect Dec. 21, 2026 if approved on Nov. 18. The Town says they don't affect existing customers.
The backdrop is supply. The Town says most Queen Creek lots have an assured water supply, but undeveloped land for an estimated 10,000 single-family homes lacks a certificate and needs renewable water. At the state level, Arizona Mirror reported in April 2026 that a Maricopa County judge blocked ADWR's Phoenix AMA "unmet demand" rule, which had stalled groundwater-only developments. ADWR said it planned to appeal once a final judgment came down. Either way, how future subdivisions get their water and how they pay for it are both still being worked out.
What to pull for any Queen Creek address
- Use the CAGRD membership locator to see whether a parcel is in a Member Land and to estimate its replenishment fees.
- Ask the seller for the most recent property tax statement and find the CAGRD line.
- Confirm whether the home is on Town sewer, septic or a private system.
- Plug that usage into the Town's WaterFuture calculator, which uses the proposed fee and the residential credit.
- If there's an HOA, ask the board or manager how it's planning for replenishment costs.
Staff open houses are scheduled at the Municipal Services Building, 22358 S. Ellsworth Road, on Oct. 20, Oct. 28, Nov. 5, Nov. 9 and Nov. 17.
Quick answers
Is the fee final? No. As of Oct. 12, 2026 it's a proposal. The hearing and possible action are set for Nov. 18, the earliest start date is January 2027, and the first bills with the fee are expected in March.
Does the Colorado River situation change this? The Town says it relies on the Colorado River for about 10% of its water and calls its Harquahala supply drought-proof.
Are other utility rates changing too? Yes. Separate notices propose adjusting the single-family water tiers, with tiers 1 and 2 going down and tier 3 going up, and a $3.78 monthly increase for curbside solid waste.
This post is general information, not legal, tax or financial advice. Fees and assessments vary by property, so please confirm your own situation with the Town, CAGRD or a qualified professional.
If you're weighing a sewer home against a septic home in Queen Creek, or wondering how these water costs could affect your home's appeal to the next buyer, The Collective AZ can help you put real numbers next to the list price. Start with an instant home valuation, and we'll take the water math from there.
