Utility Rate Increase Notice City of Brooklyn Center December 2014 Please be advised of the following changes to your utility bill: On January 1st, 2015 - Rates for sanitary sewer and recycling services will change On April 1st, 2015 - Rates for water services will change January 1, 2015 Changes: Sanitary Sewer Rates - Quarterly Residential Rates Description Single Family Apartment Senior Citizen Recycling Rates - Quarterly Current $74.70 52.29 41.09 Adopted $78.45 54.91 43.15 Change $3.75 2.62 2.06 Non-Residential Rate Amount Current $3.01 1,000/gals. Adopted $3.16 Change $0.15 Residential/Non-Residential Rates Current Adopted $8.94 $9.21 Per Household Change $0.27 Questions? on utility services and rates, may be directed to the City of Brooklyn Center Finance Department at 763-569-3390. Information may also be found at www.cityofbrooklyncenter.org and select City Services – Utility Billing. April 1, 2015 Changes: Water Rates - Quarterly The amount that you pay for water is based on the size of your water meter and the amount used. Residential Water Rates Base Charge Meter Size 5/8” and 3/4" Current $8.20 Adopted $10.00 Consumption Rates (Per 1,000 Gallons) # of Gallons Current Adopted Non-Residential Water Rates Change $1.80 Base Charge Meter Size 1” Current $23.89 Adopted $28.98 Change $5.09 1 ½” 30.72 37.26 6.54 Change 2” 59.73 72.45 12.72 0 to 30 $1.36 $1.66 $0.30 3” 119.46 144.90 25.44 31 to 60 1.70 2.07 0.37 4” 201.38 244.26 42.88 61 and > 2.54 3.10 0.56 6” 460.78 558.90 98.12 Adopted $2.07 Change $0.37 Note: Residential is defined as a 5/8” or 3/4”residential meter or commercial irrigation meter. Non-residential includes multi-family, commercial & industrial. Consumption Rate Amount Current $1.70 1,000/gals. Water Treatment Plant Financial Impact The increase in water rates is a result of the City’s construction of a water treatment plant. The water treatment plant will reduce the level of manganese and continue to provide quality water to our consumers. The water treatment plant is currently under construction and is expected to be up and running by the end of 2015. The (estimated) total cost for the water treatment plant is $19.98 million. Funding will be achieved through a low interest loan under the Drinking Water Revolving Fund through the Minnesota Public Facility Authority (PFA) loan program. The loan will be repaid over twenty years at an interest rate of approximately one percent, which calculates to annual repayments of approximately $1.1 million. Water rates will be adjusted over the next three years to provide sufficient revenue for these annual loan repayments. Impact on Typical User The amount that a water bill will be affected by the rate change will depend on the size of the meter connection and the amount of water consumed. The change in the quarterly utility bill for a household using 18,000 gallons of water (considered the typical residential user) would be $7.20 per quarter. Approximately two-thirds of residential customers will see a quarterly increase of less than $6. The effect on the typical residential bill is illustrated in the following chart: Description Base Charge 2014 Bill $8.20 2015 Bill $10.00 $ Change/quarter $1.80 Usage Charge $24.48 $29.88 $5.40 Total $32.68 $39.88 $7.20 City Rate Comparison The City annually compares their utility rates with nine cities that are considered comparable to Brooklyn Center in size and characteristics. Brooklyn Center’s water rates remain the 2nd lowest among the comparison cities. The 2015 water bill for a typical user is estimated to be $39.88, which is below the comparison city average of $66.39. $98.67 $100.00 Cost of 18,000 Gallons of Water Per Quarter in 2014 $90.00 $82.15 $94.05 $82.26 $80.00 $66.36 $70.00 $61.52 $60.00 $48.74 $50.00 $39.88 $40.07 $40.00 $30.00 $23.68 $20.00 $10.00 $White Bear Lake Brooklyn Center (2015) Fridley Shoreview Richfield Maplewood Crystal Golden Valley Roseville New Hope For information about water rates, manganese, or water conservation tips, visit the City website at www.cityofbrooklyncenter.org
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