The New York City Water Board, Department of Environmental Protection is looking to increase water rates and limit the time allotted to challenge water bills. During the week of May 1, the Board conducted public hearings in all five boroughs concerning proposed rates and charges to be effective July 1, 2000 for the use of, or services rendered or made available in NYC by the Water and Wastewater System of the City of New York and concerning proposed billing and customer service policy changes to be incorporated in the NYC Water Board's Rate Schedule effective the same date.
It is anticipated that there will be an increase in metered and unmetered water rates of 1%. That the wastewater rate will remain at 159% of the corresponding water charge which is payable on each account. And, with respect to water sales to municipalities and water districts north of the City, the regulated rate will be increased to approximately $414.42 per million gallons and the rate for amounts in excess of allowance quantities will be equal to the in-city metered rate of approximately $1,751.34 per million gallons.
The objective of this rate proposal, according to the Water Board, is to promote greater water conservation and ensure the installation of water meters in multiple unit apartment buildings. This program is expected to replace the existing Transition Program, Retroactive Transition Program and Meter Billing Cap Program for residential buildings consisting of six or more dwelling units.
It provides that owners of multiple family residential buildings of six or more units who replace or have replaced at least 70% of the toilet, sink and showerhead fixtures in a building with low flow water consuming fixtures may elect to be billed on the basis of a fixed charge per dwelling unit per year. This charge will be subject to the general rate level changes each year, if any.
Michael Lockhart, chairman of the Coalition for Water Bill Justice, a grassroots organization representing water customers, businesses, building owners and civic associations, asserts that the Department of Environmental Protection is promulgating unfair water billing policies. He attended the Queens public hearing on May 1, 2000 where he presented the Coalition's position.
Under the proposed rate schedule, states Mr. Lockhart, rates would increase only one percent for fiscal year 2001, but would balloon to as much as 7.4% in three years.
Mr. Lockhart strongly objects to the Department's two year limit for refunds on billing errors. "By enacting this policy, DEP was making a concerted effort to wipe out massive numbers of overbilling complaints from consumers. The sources of complaints are numerous - bills on non-existent meters; buildings double-billed on both frontage and metered billing; bills with overlapping billing periods; bills calculated using incorrect rates, etc."
In support of his objection Mr. Lockhart sites Con Edison, Brooklyn Union Gas and the "entire utility industry throughout the country" who allow customers to get refunds going back six years - plus interest.
Third, on the agenda, was the DEP's recent policy change of shutting off water service in response to unpaid bills. This can truly be a tragedy in buildings that house elderly or disabled residents. According to Mr. Lockhart, in many cases, the lack of payment can be attributed to DEP's flawed billing practices and no fault of the resident or building owner.