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LCWD Water Rates for billing year 2015

 

The Board of Water Commissioners periodically reviews and sets the rates charged to customers for the purchase of water and various services provided by the District.  The most recent review was announced in the 2014 water statements and was conducted from October 2014 through August 2015 during regularly scheduled Board meetings open to public input.  Following are the water rates established for the 2015 statement period, the first increase in ten years, and will remain in effect until further notice.

 

Statements are issued twice per year (June and December).  All customers pay an annual service connection fee of $60 billed on their summer statement.  The annual water purchase cost is calculated in detail on the winter statement for the gallons purchased, that is, the difference between the November meter readings of the prior year and the current year.   The cost of the water is calculated using the following Tiered rate table.  For example; if the November 2014 reading was 167,000 gallons and the November 2015 reading was 239,000 gallons, there were 72,000 gallons of water purchased for the year.  Using the table below, the first 30,000 gallons in Tier 1 cost $15, the next 30,000 gallons in Tier 2 cost $22.50, and the remaining 12,000 gallons in Tier 3 cost $27.00 (12,000 gallons at $2.25 per 1,000 gallons).  The sum of the three tiers is $64.50 for the 72,000 gallons of water purchased during the one year period November to November. 

 

Tier #

For gallons of water
in the range of

Cost per 1,000
gallons

Maximum cost for all
30,000 gallons In tier

1

0 to 30,000

$0.50

$15.00

2

30,001 to 60,000

$0.75

$22.50

3

60,001 to 90,000

$2.25

$67.50

4

90,001 to 120,000

$2.50

$75.00

5

120,001 to 150,000

$8.50

$255.00

6

150,001 to 180,000

$9.50

$285.00

7

180,001 to 210,000

$10.50

$315.00

8

210,001 to 240,000

$11.50

$345.00

9

240,001 to 270,000

$12.50

$375.00

10

270,001 and above

$13.50

 

 

This pricing structure is referred to as Increasing Block Rates or Tiered Pricing and promotes conservation of resources and reduced water use.  Most households use less than 60,000 gallons per year and pay the lowest 1/20-cent and about 3/40-cent per gallon for domestic consumption.  Some households with higher domestic consumption and / or conservative outdoor use pay about ¼-cent per gallon for the additional consumption.  Households with high outside consumption pay from 0.85-cents per gallon to 1.35-cents per gallon as the amount purchased increases. The first block is charged at one rate, the next block is charged at a higher rate, and so forth.  The Commonwealth of Massachusetts Department of Environmental Protection has established a goal for residential water use of 65 gallons per capita per day (gpcd) on average.  The above table differentiates between lower priced domestic water use (tiers 1-4) and substantially higher priced excessive water usage (tiers 5-10) to encourage conservation following the recommendations and polices of DEP.

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