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Water Rates Set to Rise 3.35 Percent — Unless Boards and Owners Speak Up

New York City

Water Rates Set to Rise 3.35 Percent
May 9, 2014

In addition to lowering system costs, the need to raise rates could also be reduced by collecting missed revenue due to delinquency or under-billing. In recent years, the City's Department of Environmental Protection (DEP) — the mayoral agency responsible for the maintenance and operation of the system — has taken measures to increase billing accuracy through expanding automatic meter readings and limiting the number of properties that receive flat-rate billing. DEP has also addressed nonpayment by gaining the authority to sell liens on certain delinquent properties — although single-family homes are exempt from this process.

Larger savings also could be realized through changes to the financing structure of the system, more specifically by having some of the system's fixed costs paid directly by the city rather than by water and sewer revenues.

DEP and the Water Board have also considered changes to the flat-rate structure. A 2009 rate study commissioned by the City suggested the possibility of adding fixed charges to cover some of the system's fixed costs; separate stormwater charges; and conservation rates, where a customer's rate would increase after a certain amount of water usage. 

While DEP and the Water Board have conducted a small pilot program to charge stormwater fees on certain properties, they have not recommended altering the current flat rate structure.

One public hearing is being held in each borough from May 14 to May 20. You can see the schedule below. For more information go to the Water Board Public Notices page.

NYC Water Board Hearings May 2014

 

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