[Vision2020] Water rates

[Saundra Lund]

Mr. Arnold wrote:
"I don't think the City Council is raising rates with the expectation of
increasing revenue for the City. I think they are hoping people will reduce
consumption of water and invest in water saving devices. So any revenue 
raised will most likely be considered a windfall, rather than budgeted
revenue for city expenses."

My memory isn't always the greatest, so I'm hoping someone with better
information will jump in, but I thought revenue *was* a concern.  It seems
to me that I recall reading something (perhaps following the pump breakdown
last year) about how the current rate structure was somewhat ineffective
from the standpoint of funding required maintenance and upgrades.  In
addition to encouraging/forcing conservation, rates need to be such that the
water infrastructure (don't know if that's the right word) can be
maintained.

So, if the tiered rate structure is really effective at encouraging
conservation, then could that not have a negative impact on water
finances/infrastructure?

But, I think I also recall reading something about the current proposal
being finance neutral.

The following article was in last Tuesday's Daily News:

"City's water plan in limbo

Malia Matson

The Moscow City Council delayed implementing a tiered water rate plan and an
outdoor irrigation ordinance at Monday's meeting. 

The interim plan for tiered water rates is revenue neutral, said Angie
Sanchez, who works for Engineering and Economic Services, the consulting
firm that drafted the rate proposal. 

"It is targeted to collect what is (collected) now," Sanchez said. 

The base monthly fees and classes for service are the same as those used
now, Sanchez said. The difference is in the price per cubic foot of water.
The price is lowest for the least amount of water consumed and goes up as
consumption increases. 

Many council members said they'd like to begin citywide efforts to save
water but were skeptical of a temporary plan that was not designed
specifically for Moscow. 

The tiered-rate proposal is a water conservation plan that has worked in
other cities. It was suggested for Moscow as a way to get conservation
underway as soon as possible, City Engineer Les McDonald said. The
tiered-rate plan would be revised once a study for Moscow was completed.
That study should be finished in six months. 

Mayor Marshall Comstock was concerned the city's water budget would fall
short under the interim plan. 

"What I would hate to do is to implement something that we don't know what
the results will be, then have to do a knee-jerk reaction and raise rates
dramatically," Comstock said. 

In the proposal Monday, the lowest tier for a single family consumer would
cost $1.25 per 100 cubic feet of water. The middle tier would cost $1.63 per
100 cubic feet of water, and the third tier would be $2.38 per 100 cubic
feet. The tiers are established by the cubic foot of water used. 

For example, the first tier would range from zero to 700 cubic feet of water
per month consumed by a single family user in the summer. The middle tier
would go from 700 to 1,500 cubic feet, and the highest tier would be for
those who use more than 1,500 cubic feet. 

Sanchez said the average single family consumer in Moscow uses 1,700 cubic
feet of water per month in the summer and 600-700 cubic feet of water in the
winter. Because of the decreased wintertime consumption, the range of
minimum cubic feet for each tier would change seasonally. This change would
balance the Water Department's revenue. Sanchez added that the rates for
each tier would remain. 

The council also is considering a proposal that would establish three summer
tiers and only two tiers during the winter - from zero to 700 cubic feet of
water, and more than 700 cubic feet of water. 

Councilman John Dickinson was the only council member to vote against
sending the tiered water rate structure plan to the Public Works/Finance
Committee. Dickinson said he was not swayed by the argument that the rates
may change because the plan is not perfect. 

"The current one is not perfect," he said. 

The outdoor watering ordinance also was sent to the Public Works/Finance
Committee. If it is approved, consumers would not be allowed to water
between 10 a.m. and 6 p.m. from April 30 to Oct. 15. It exempts businesses
like plant nurseries and car washes from the daytime water-use restrictions.


Comstock said he was concerned some businesses that should be exempt would
be overlooked if the ordinance was too specific. 

"I think there are a lot of businesses where water is used in the course of
a normal business operation," he said. "I think it's hard to list all
exemptions." 

Councilwoman Nancy Chaney disagreed. She said she was concerned that a broad
clause for business exemptions would lead to the misuse of water. 

"I think that would not be restrictive enough," she said. 

Some council members were uncertain why business exemptions such as car
washes were necessary because the revised ordinance was tailored to outdoor
irrigation. 

Both the tiered-water rate proposal and the outdoor irrigation ordinance
will return to the Public Works/Finance Committee next week to be reworded. 

Dickinson and Chaney voted against sending the proposals back to committee. 

"I thought the ordinance was fixable and workable tonight," Dickinson said.
"I think it's a shame to go so long and not have gotten very far." 


Malia Matson can be reached at (208) 882-5561, ext. 239, or by e-mail at
mmatson@dnews.com."

For those interested, more information is available via links on the main
page of the City's Web site:
http://www.ci.moscow.id.us/


HTH,
Saundra Lund
Moscow, ID

The only thing necessary for the triumph of evil is for good people to do
nothing.
-Edmund Burke