Fayetteville Proposes $150M Water and Sewer Bond

City officials warn utility rate hikes could be necessary without bond passage

Published on Feb. 23, 2026

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Fayetteville, Arkansas is proposing a $150 million bond measure to fund upgrades and maintenance for the city's aging water and sewer infrastructure. City leaders say the bond is necessary to avoid potential utility rate increases, and would extend an existing one-cent sales tax to pay for the improvements.

Why it matters

Fayetteville's water and sewer systems have deteriorated over time, leading to issues like water main breaks. Without the proposed bond, officials say rate hikes may be required to fund the needed upgrades, which could significantly impact residents already struggling with high utility costs.

The details

The $150 million Water and Sewer Improvement Bond is part of a broader $320 million bond package on Fayetteville's March ballot. The bond would fund repairs and upgrades to the city's pipes, pumps, tanks, and treatment facilities. It would also extend an existing one-cent sales tax that has been used to fund infrastructure projects for the past 25 years.

  • The $150 million water and sewer bond is on the March 2026 ballot in Fayetteville.
  • The current one-cent sales tax that would be extended to pay for the bond has been in place for 25 years.

The players

Fayetteville City Council

The city council in Fayetteville, Arkansas is proposing the $150 million water and sewer bond measure to voters.

Sarah Moore

A Fayetteville city council member who warned that without the bond, utility rate increases would likely be necessary.

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What they’re saying

“If we don't have this as an option, we will most likely have to increase rates. There has been an estimation we would have to double... hard for our residents who struggle to pay utilities.”

— Sarah Moore, Fayetteville City Council Member (5newsonline.com)

What’s next

Fayetteville residents will vote on the $150 million water and sewer bond as part of the broader $320 million bond package in the March 2026 election.

The takeaway

Fayetteville's aging water and sewer infrastructure requires significant investment, and the proposed $150 million bond aims to fund critical upgrades without raising utility rates on residents who are already struggling with high costs.