Dallas Ordinance Cuts Energy Bills for Thousands of Struggling Households

The Dallas City Council approved the Utility Relief Ordinance on July 8, extending monthly credits on water and electricity bills to households with incomes at or below 200 percent of the federal poverty line. The measure applies to accounts served by Dallas Water Utilities and Oncor Electric Delivery within city limits, covering an estimated 120,000 residential accounts.

City budget papers released in May project continued pressure on household expenses from wholesale power costs and infrastructure upgrades scheduled through 2027. The ordinance responds to those projections by reallocating existing general fund reserves rather than raising property tax rates for the coming fiscal year.

A household in the Pleasant Grove neighborhood using 800 kilowatt hours of electricity and 6,000 gallons of water per month would receive a combined credit of $18 on its next bill. Similar credits scale with usage and are applied automatically once eligibility is verified through the city's 311 portal or in-person at one of the six regional service centers.

Funding Details from the Adopted Budget

The ordinance draws $9.2 million from the city's $2.9 billion general fund for fiscal year 2026, according to the budget document passed in September 2025. City records show this amount equals the projected revenue from a 1.5 percent increase in commercial permit fees that took effect January 1, 2026.

Application and Payment Schedule

Eligible residents must submit income documentation by July 31 to receive credits on August bills. The city will mail notices to current utility account holders and post verification instructions on dallascityhall.com. Remaining funds after the first round will support a second application period in October for households that experience income changes during the summer months.