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            NEWS
        COMMUNICATIONS OFFICE

 

For Immediate Release:

 

Friday, July 28, 2006

Water and Sewer Rate Increases To Show up on

September Bills for Goodyear Customers South of I-10

 

 

(GOODYEAR, AZ) The City of Goodyear’s new water and sewer rate increases went into effect on July 27, so residents and businesses south of I-10 will see an increase in their monthly municipal utility bill as of the September bill which represents water and sewer usage during the month of August. The rate hikes will affect only City of Goodyear water and sewer customers – those south of I-10 except for Canada Village residents who are served by the Arizona Water Company. Goodyear residents and businesses north of I -10 are in the Litchfield Park Service Company’s (LPSCO) service area.

 

The City of Goodyear’s recent rate increases are15 percent for water and 10 percent for sewer.  This is the second year of rate increases for both water and sewer. Two years ago, a long-term plan was developed by a citizen advisory committee calling for three years of increases so fees would eventually cover both one-time and on-going costs incurred by the Water Resources Department.  These recommendations were implemented to help make the Water and Sewer Enterprise Funds self sufficient.. The first increase occurred in July 2005 when a 20 percent rate hike for both the water and sewer went into effect. The plan calls for a five percent water increase in July of next year with no rate hike for sewer scheduled for 2007. 

 

For a household with a ¾” water meter that uses an average of 10,000 gallons of water per month, the 15 percent rate hike would increase the average monthly water portion of the bill by $3.64 for water usage and $1.20 for water meter hookup.  That same household’s average sewer portion would likely increase 10 percent - $3.52 monthly. 

 

Goodyear has taken a “tiered” approach to its water rates for both residential and commercial customers in order to promote water conservation. The more water a household uses the more expensive it gets per thousand gallons:  Tier 1 (0-8,000 gallons) costs $1.68, Tier 2 (8,0001- 20,000 gallons) costs $2.57, Tier 3 (20,001 – 30,000 gallons) costs  $3.31 and Tier 4 (30,001 and over gallons) costs $3.59. Most residential accounts have an additional monthly charge of $9.20 to cover the cost of a ¾” water meter (standard size for majority of homes).

 

Because Goodyear’s water system is designed to meet residential peak demand (which is must less stable than commercial demand), tiers and costs were designed to make residential customers responsible for a greater portion of the large infrastructure costs associated with meeting peak demand. 

 

Commercial water users are also billed on a tiered system:  Tier 1 – (0 to 40,000 gallons) costs $1.68 per thousand gallons: Tier 2 (40,001-100,000) costs $2.58 per thousand gallons; and Tier 3 – (100,001 and over) costs $3.31 per thousand gallons.  Because commercial customers are generally such large water users, tiers include many more gallons than do residential tiers which were determined based on normal residential usage.   Allowing more gallons per tier for commercial is usual among cities to help keep commercial costs competitive, to encourage industrial and commercial developments that provide jobs, and enhance the tax base. Commercial users are also charged a monthly water meter fee.  Prices vary greatly because there are 12 different sizes of commercial meters.

 

However, when it comes to sewer rates, residents are given a break on cost that commercial customers don’t receive. Commercial customers pay sewer charges based on 80 percent of total water consumption; whereas, residential customers  pay only 80 percent of the Winter Quarter Average – a distinctive difference. The WQA is the average of January, February and March water usage – generally the lowest water usage months per year because outdoor temperatures are lower, lessening the need for landscape watering. Even if a household’s monthly water usage is higher than the WQA, sewer charges cannot be more than 80 percent of the WQA any month of the year.

 

If residents south of I-10 feel their WQA may not be low enough, they can appeal their sewer rate by going to goodyearaz.gov for a Sewer Appeal Form or by calling Finance at 623-932-3015 to have a form mailed to them.  Appeals must be submitted NO LATER than August 31st.  Within about 30 days, residents should hear if they have been granted an appeal.


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City of Goodyear • 190 N. Litchfield Road • Goodyear AZ 85338 • Phone 623-932-3910 • Toll-Free 1-800-872-1749