Kerrville residents will pay higher utility fees next year to help pay for improvements to the city's drainage system. The Kerrville City Council this week approved a plan that replaces the current flat monthly stormwater fee with a tiered fee based on square footage. City officials said flooding this summer showed the need for drainage improvements.

Under the plan, single-family homes will be billed in three tiers. Homes up to 2,350 square feet will pay $1.50 a month next year, rising to $3.64 in fiscal year 2031. Homes from 2,350 to 4,877 square feet will pay $2 a month, rising to $4.85 in 2031. Homes above that range will pay $2.50 a month, rising to $6.06 in 2031, according to Public Works Director David Barrera. Apartment buildings will receive one fee to be divided among tenants, and commercial properties will be billed based on impervious cover. Some properties, including those with private drainage systems and those owned by the state or public colleges and universities, will be exempt, Barrera said.

The new fees start Jan. 1 and are projected to generate $400,000 in the first year and almost $1 million in 2031. The council also created a separate public utility to oversee the drainage system. Fees collected can only be used for drainage projects. Mayor Joe Herring said the plan will not solve all drainage problems soon. "That's a start," he said.