Louisville MSD Board Approves One of the Lowest Rate Increases in 20 Years

An aerial of Floyd's Fork
July 28, 2026

The board of the Louisville and Jefferson County Metropolitan Sewer District (MSD) has approved a rate increase that will support public health through infrastructure investments that enhance wastewater management, stormwater drainage and flood protection across the community.

The July 27 board action finalized a 3.9 percent rate increase for residential customers in Jefferson County, which will go into effect on September 1. That matches the lowest rate increase of the last 20 years, as last year’s adjustment was also 3.9 percent.

The average monthly residential bill is expected to go up by an estimated $3.23. 

The adjustment comes at a time when MSD continues to address federal clean water requirements, increasing construction costs and aging infrastructure — some of which was built before the Civil War. MSD engineers have identified approximately $1.2 billion in critical infrastructure investment needed over the next five years. 

MSD Board Chair Ricky Mason said that rate adjustments are carefully weighed. 

“The daily work that MSD does is pivotal to protecting our community,” Mason said. “We must continue to invest in resilient infrastructure to reduce sewer overflows, to protect our local waterways and to be prepared for major floods, but MSD strives to do everything possible to limit the financial burden on ratepayers. This is an important balance in MSD’s role as a steward to the community.” 

MSD has several major projects underway in Jefferson County including upgrades at Paddy’s Run Flood Pumping Station that will double flood-pumping capacity, as well as continued construction of the new biosolids processing facility at the Morris Forman Water Quality Treatment Center to increase efficiency at the community’s largest treatment facility. 

“Like everything MSD does, rate increases are handled with care and compassion,” MSD Executive Director Tony Parrott said. “We must efficiently operate and maintain the sewer and flood protection systems on a daily basis, but also invest in the future of those systems, so when a natural disaster or a crisis happens, we’re ready.” 

The July 27 board action also finalized a 2 percent rate increase for Oldham County customers. The average monthly residential bill is expected to go up by an estimated $1.59 for wastewater charges. Oldham County operates under a rate schedule set before MSD took over the county’s wastewater services. Oldham County rates are currently higher than Jefferson County, and that long-term rate schedule will eventually equalize with that of Jefferson County. 

In Oldham County, an expansion project at the KSR Water Quality Treatment Center on KY 146 will increase the treatment capacity to serve future growth in the area, while also upgrading with new technology to enhance performance and efficiency. Completion is expected by fall 2028.

Customer Assistance Available 

Through the Drops of Kindness program, MSD provides approximately $2 million annually in bill assistance. To learn more, visit the program’s website — www.dropsofkindness.com — which is a one-stop shop for customer bill assistance.