PUBLIC RATE HEARING
Thank you for sharing your comments on the MVWA’s proposed rate increase of 2%, or about 67 cents per month for the average household. Your input has been shared with the Board of Directors for careful consideration before they vote on the matter. As always, the Board strives to find a workable balance between the need to keep water use affordable through modest periodic increases vs. fulfilling the responsibility to maintain an aging pipe system for future generations. ~ 10/23/2020 ~
DUE TO RESTRICTIONS ON PUBLIC GATHERINGS STEMMING FROM THE COVID 19 PANDEMIC, THE MVWA WILL BE ACCEPTING PUBLIC COMMENTS VIA EMAIL ONLY REGARDING A PROPOSED RATE INCREASE OF 2.0% EFFECTIVE JANUARY 1, 2021.
The Mohawk Valley Water Authority (MVWA) Board of Directors will be considering a rate increase of 2.0% on Monday, October 26, 2020. In lieu of a public rate hearing, The public is invited to submit comments in writing for Board consideration via the MVWA website. Comments may be submitted beginning Thursday, October 15, and must be received no later than Thursday, October 22 for distribution to board members.
If approved, the 2.0% rate change will equate to approximately $8.00 per year in higher water costs for the average household, or about 67 cents per month. The total proposed budget for the coming fiscal year is approximately $26.4 million.
Some factors considered in the proposed budget include:
- An overall increase in non-personnel operating costs of 4.75%
- Cash capital maintenance and repairs funded at $600,000
- Workers compensation premiums are projected to increase 5%
- Property and Liability insurance premiums are expected to rise by 7%
- A reduction in system-wide demand of approximately 3.2%
The rate increase has been partially offset by a modest decline in debt and PILOT payments of $20,000. The proposed budget is also supported by $1,227,000 in cash carried forward from accumulated surpluses from prior years.
The MVWA is presently preparing to close on the sale of water revenue bonds in the amount of $15.2 million to support the implementation of several large projects over the next 3 years. Included in the bond sale will be additional funding to refinance bonds sold in 2012 at lower rates. This refinancing is expected to save approximately $422,000 over the remaining life of those bonds.
The Mohawk Valley Water Authority is a regional agency that provides drinking water to approximately 128,000 customers throughout 18 municipalities in Oneida and Herkimer Counties.
Please Note: The 2% rate increase applies to only the water portion of your bill.
MVWA does not set the rates for the sewer portion of your bill.