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Friday, April 20, 2012

Goldfeder takes on Water Rate Hikes....

It should come as no surprise that this July, the New York City D.E.P. will once again increase your water bill for Fiscal Year 2013 by 7%!

The annual water rate hikes by the D.E.P. have become become an annual event that we have come to view as a "fact of life" - here's your rate increase and there's nothing you can do about it.

In Fiscal Year 2012 the rate increased by 7.5%
In Fiscal Year 2011 the rate increased by 12.9%
In Fiscal Year 2010 the rate increased by 12.9%
In Fiscal Year 2009 the rate increased by 14.5%
In Fiscal Year 2008 the rate increased by 11.5%
In Fiscal Year 2007 the rate increased by 9.4%  

Back in Fiscal Year 2008 when our reservoirs were low, the D.E.P.'s Water Board told us that in order to force conservation of water, they had to raise their rates.  
So what happened? Consumption went down markedly and in Fiscal Year 2010 the D.E.P.'s Water Board told us that because less water was being used, their revenues have suffered and they (wait for it!...) have to raise rates!

This year, the D.E.P. proudly proclaims that "In the past three years alone, DEP has instituted three successive rounds of budget tightening measures that have cut more than 15% off our operating costs."

Good news right?  Three consecutive years of intensive budget tightening measures reducing operating costs by more than 15%?  One would think that perhaps that savings would translate to a savings for the consumer?  Sounds like that savings should translate to a savings for the consumer?

Unfortunately not.

The D.E.P. adds that "Since 2002, debt service payments have increased by 176%, from $496million to $1.37 billion, as a result of approximately $15 billion in unfunded federal mandates that translate to higher rates."

The excuses for these continual rate hikes are becoming almost laughable.

The reservoirs are low so we have to raise rates to conserve water.

People are using less water (conserving) so our revenues are down and we have to raise rates.

We reduced operating costs by more than 15% but unfunded federal mandates have increased our debt service payments by 176% since 2002 so we have to raise rates.

The Water Board and the DEP have continued to enoy the best of both worlds while we, the consumers, have been damned if we do and damned if we don’t!

That is until now.

The good news is that we finally have a local elected official who states he wants to "put the brakes on" D.E.P.'s annual water rate hikeathon.

Our State Assemblyman, Phil Goldfeder. has stated that:

Water rates are at an all-time high in Queens, and instead of providing much needed economic relief; there is a proposal to raise the rates once again. Recently, the New York City Department of Environmental Protection (DEP) announced a proposed 7 percent increase in water rates; an astronomical 78 percent increase in the cost of water rates since 2005!

A higher fee for water is the last thing our community and the struggling economy needs right now. While the city has downplayed the rate hike proposal by stating that it is well under the originally projected rate increase of more than 9 percent, 7 percent is still a substantial increase over current water rates.
If the new increase goes into effect, the typical singlefamily homeowner will see an increase from $877 per year to $939 per year for water and sewer bills – an additional $5 per month. An average multi-family unit with metered billing will see an increase from $571 per year for each dwelling unit to $610 per year for each dwelling unit – an additional $3.25 per month.
As a father and long-time resident of Queens, I understand the many expenses families are faced with, as well as the continuously rising cost of living that we face every year. The rate hike is just another tax and an additional fee on the working and middle class families who are already struggling. We need to keep the money in the pockets of residents who need it and not make them pay additional fees.
After only five planned public hearings across the five boroughs, the Water Board will vote on the water rate on May 4th and if passed, will take effect on July 1st.
A public hearing in Queens is scheduled for 7 p.m. on Thursday, April 26, at Christ the King Regional High School, located at 68-02 Metropolitan Ave. in Middle Village.
In an effort to limit additional rising costs, to their credit, the DEP announced a three-year pilot program that would cap payments to the general fund at $196 million, the level from 2011. The DEP has also taken a number of steps to help mitigate the trend of increasing debt in the future through innovative planning and advocacy. The DEP has reached an agreement with the state to implement a groundbreaking green infrastructure plan that will eliminate or defer $3.4 billion in capital commitments, while making the state more environmentally friendly. This is a good first step, but more needs to be done.
In the coming weeks, I will be introducing legislation to cap the increase in water rates to no more than 4 percent each year. Parents should never have to choose between paying a ridiculously expensive fee or cut back on such fundamental necessities as doing laundry, bathing their children or washing dishes.

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We strongly recommend that those of you who are fed up with these hefty annual water rate increases by the D.E.P. and their Water Board call Assemblyman Goldfeder  at (718) 945-9550 or email him at goldfederp@assembly.state.ny.us. and let his office know that we support him in this matter.

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