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8 <br />Attachment #1 <br />PROPOSED INCREASING BLOCK WATER RATES <br />FOR INDIVIDUALLY-METERED RESIDENTIAL CUSTOMERS <br />Increasing block water rates are proposed for customers in individually-metered residences <br />including traditional single-family homes and some townhouses, condominiums, and apartments. <br />Several thousand customers in multi-family developments receive service through a "master <br />meter" rather than individual meters and increasing block rates would not apply to them. <br />With increasing block rates, which would apply year-round, the charge per thousand gallons of <br />water use would rise as a customer's water use rises. The proposed increasing block water rates <br />are: <br />Level of water use er month Char a for volume of water use <br />first 2,000 allons of water use $2.46 er 1,000 allons <br />3,000 to 5,000 allons $4.09 er 1,000 allons <br />6,000* to 10,000 gallons $5.53 per 1,000 gallons <br />11,000 to 15,000 allons $7.46 er 1,000 allons <br />16,000 allons or more $13.05 er 1,000 allons <br />~ The average single-family residential household in our community uses slightly less than 6,000 <br />gallons of water per month. <br />For a typical customer using 6,000 gallons of water per month: <br />/ The proposed charge for the first 2,000 gallons would be $4.92 (2,000 gallons times $2.46 <br />per 1,000 gallons). <br />/ The proposed charge for the third, fourth and fifth thousand gallons would total $12.27 <br />(3,000 gallons times $4.09 per 1,000 gallons. <br />/ The proposed charge for the sixth thousand gallons would be $5.53 for a total charge of <br />$22.72 ($4.92 + $12.27 + $5.53) for water volume only. <br />Our bills also include fixed monthly water and sewer service charges based on meter size, and a <br />uniform charge per 1,000 gallons of sewer service, and we calculate our bills from meter <br />readings rounded down to the nearest 1,000 gallons. <br />Increasing block rates would mean that residential customers who use large amounts of water <br />would pay a greater share of the system capacity costs for water supply and treatment facilities <br />needed to meet their higher water demand. Many high volume residential water users would <br />have higher bills with block rates. If the effect of the proposed 9.5% rate increase is not <br />considered, the proposed residential block rate structure would mean lower bills for customers <br />who use small amounts of water each month. <br />