April, 2007NYC Water Board Proposes Highest Water Rate Increase in 15 Years – 11.5%
More 11% Increases Projected in the Next Three Years
New York City Water Board Holds Hearings on April 24, 25 and 26
The New York City Water Board is considering a proposal to raise rates for water by 11.5% starting on July 1, 2007. The increase is the largest increase in 15 years and follows an increase of 9.4% last year. The news that is not getting any publicity is that the Water Board is projecting annual increases of more than 11% for each of the next three years. As if the 11.5% rate increase this year is not bad enough, DEP is projecting increases of at least 11% annually in the next three years. The NYC Water Board is holding public hearings in each of the boroughs on starting on April 24 and ending on April 26th (see below or DEP's website).
Those of us interested in the preservation of affordable housing need to use this rate hearing season as a means to raise public attention about the serious impact of such increases on affordability. The hearings are a means of getting attention on the issue.
We are urging individuals and groups to a) testify at the public hearings against the increases; b) provide specific examples of properties affected by the rate increases; c) demand a Water Summit convening community organizations, banks, and the real estate sector along with the various parts of City government involved with water and housing, to talk about the impact of water on affordability; d) try to get press coverage for your testimony; and e) contact your City Council representative to ask them to hold Council hearings about the water rates and their impact on housing affordability.
UNHP has identified affordable properties that will be in financial danger if the projected water increases come to pass. We also submitted to DEP examples of how the projected water rate hikes will require major increases in City subsidy to allow the affordable housing projects in the New Marketplace to meet bond financing requirements. Many organizations in the not-for-profit and for-profit sectors have similar stories to tell. Now’s the time.
The Hearing schedule is below in the attached release from DEP. Call Kevin Kunkle at 718-595-3601 to register for the hearing.
From DEP Website:
http://nyc.gov/html/dep/html/notices/wboard35pn.html
April 2, 2007
Contact: (718/595-3601)
Public Hearings on Proposed Rates and Changes
PUBLIC NOTICE IS HEREBY GIVEN THAT in accordance with Section 1045-j (3) of the Public Authorities Law, public hearings will be held on April 24, 25 and 26, 2007, concerning proposed rates and charges to be effective July 1, 2007, for the use of, or services furnished, rendered or made available by the Water and Wastewater System of the City of New York (the “System”) and concerning changes to certain billing policies to be incorporated into the New York City Water Board’s Rate Schedule effective July 1, 2007. The hearings will be held as follows:
Borough
Place
Date/Time
Queens
Department of Environmental Protection
Lecture Room, 6th Floor
59-17 Junction Boulevard
Flushing, NY 11373Tuesday
April 24, 2007
1:00 PMBrooklyn
Brooklyn College
Student Center-Alumni Lounge
(opposite Whitehead Hall)
East 27th Street and Campus Road
Brooklyn, NY 11210Tuesday
April 24, 2007
6:00 PMBronx
Herbert H. Lehman College
Carman Hall, Rm. B-34
250 Bedford Park Boulevard West
Bronx, NY 10468Wednesday
April 25, 2007
9:30 AMStaten Island
College of Staten Island
Center for the Arts, Recital Hall
2800 Victory Boulevard
Staten Island, NY 10314Wednesday
April 25, 2007
6:00 PMManhattan
St. John’s University - Manhattan
Auditorium
101 Murray Street
New York, NY 10007Thursday
April 26, 2007
5:30 PMI. It is anticipated that there will be a change from currently effective water rates and wastewater charges for services provided during the fiscal year commencing July 1, 2007.
1. Metered and unmetered water rates will increase by 11.5%.
2. Wastewater charges will remain at 159% of water charges.
II. It also is anticipated that changes to an administrative policy will be considered.
Payment Agreements - The standard terms of a payment agreement as set forth in the Board’s Rate Schedule will be modified reducing the minimum initial down payment to 10% from the currently required 25% and extending the currently specified repayment term from three years to five years.
All members of the public who wish to obtain copies of the Board’s Information Booklet describing the rate proposal, and changes to billing policies and miscellaneous fees and charges, or who wish to testify at a hearing should contact Kevin Kunkle, New York City Water Board, 59-17 Junction Boulevard, 8th Floor, Flushing, NY 11373, Telephone (718) 595-3601 not later than April 20, 2007. Oral testimony will be limited to five (5) minutes duration. A copy of any prepared or written statement may be submitted to the Water Board at the above address at least two days prior to the meeting.
Updates:
Multifamily Conservation Program
The City Water Board’s new Multifamily Conservation Program was the focus of a City Council committee hearing on January 22nd. The Environmental Protection Committee hearing was scheduled following a front page New York Times article that called the program a “policy switch” that eased the City’s stance on water meters.
Under the program, owners of buildings with six or more apartments can opt to be billed at a fixed rate as long as they have low flow toilets in at least 70% of the apartments and they submit to water conservation audits. The rate under the new program will be approximately $424 per apartment.
City Council committee members questioned DEP Commissioner Miele about the program, its history and its financial effects for most of the hearing. The regulations implementing the program (which was approved by the Water Board last spring as part of the 2000-01 rate hearings) were approved at the last Water Board meeting of 2000. Council members also questioned why the City was not reactivating the Toilet Rebate Program that had operated several years ago to reimburse owners for installation of low flow toilets by licensed plumbers.
UNHP director Jim Buckley testified in support of the new program at the hearing. Contrary to the published reports of surprise about the program from some City and environmental leaders, he noted that this program has been developing over many years. The current transition program which has been in effect for at least 8 years was started as a way to protect buildings from exorbitant increases due to metered use. The new program recognizes the validity of the argument that has been raised over the past decade that buildings with larger apartments and larger families will be penalized with higher bills despite a commitment to conservation efforts.
Owners considering applying for the program should carefully evaluate whether this program is beneficial to them at this time. Buildings in the transition program already are paying less than the new program would charge and the transition programs will stay in effect until December 31, 2003. However, owners that are paying metered bills and are in the bill cap program— $520 for each apartment—should apply for the program.
Applications can be taken off the City website at www.nyc.gov/dep or through UNHP's office. For more information, call Jim Buckley or Jo Kletter at (718) 933-3101 or email mail@unhp.org.
