No one is going to like the new rates for water and wastewater. With background I hope that you will conclude that the proposed 11.7% increase on the combined rate for water and wastewater is appropriate and is actually necessary. Here is the Staff report which will be discussed at 11/4 Council. The increase is a direct result of York Region’s Financial Sustainability Plan which includes a 9% increase annually through 2020. The latter responds to Provincial legislation that all municipal water and wastewater systems operate on a full-cost recovery rate structure in order to ensure that there is financial capability to properly maintain and ultimately replace infrastructure. At time of writing I do not fully understand why the rate increase in King is higher than the Region’s rate; I will be asking for more information at Council.
The Township was an innovator several years ago when it introduced a tiered block volume charge in order to incent conservation. I will be asking if there are any learnings to indicate whether our tier levels are effective. Should high water users be charged more? Are those who diligently practise water conservation being adequately rewarded?
I do appreciate the importance of maintaining safe and effective drinking water systems. However, for York Region to announce this is being done as part of a Financial Sustainability Plan overlooks the need of countless residents across the Region who also need to manage personal finances in their own “financial sustainability plan”. The incomes of most people do not go up by 9% or 11% each year.
Governments often seem to operate outside of the realm of truly understanding the financial impacts of their decisions on individuals and families.
Are there savings in other areas or actions the Township can take to offset most of the 11.7% increase on residents and business owners?
Hi Bruce…your question at the end as to whether the Township can find savings to offset this significant increase is a fair one. I understand your point but I am not at all sure how such could be executed unless there is some way King could reduce the cost of distributing the water as the legislation requires that cost of water reflect full cost. Our supplier, York Region, has increased the rates; that is now a given for the Township so the “discretion” is only with the distribution costs. Clearly, users do have one way to reduce their water bill: conservation. Our billing system is soon going to show time of use etc. to help people reduce consumption, if they so choose.