The River Authority establishes annual wastewater charges for service based on customer winter averages, operations and maintenance costs, capital projects, and debt service. The calculation for the monthly rate is the following:
(Winter Average x Variable Rate) / 1,000 gallons + Fixed Rate
Winter Average
The winter average is the computed average of the monthly metered water consumption for three consecutive billing periods that fall between November 15 and March 15. Since water is mostly used indoors during the cooler months, and likely ends up processed at a River Authority treatment plant through the sewer system, this serves as the basis for winter averaging. Customers who do not have a winter record of water usage established are billed a system average. Since the River Authority contracts with multiple water purveyors for billing services, please refer to your individual bill to see your billing cycle.
Here is an example below:
VARIABLE RATE
The variable rate is calculated by taking the operating and maintenance cost to transport, treat, and dispose of wastewater and dividing it by the projected number of gallons of wastewater treated. Operating costs include personnel, supplies, contracted services, and regulatory assessment fees. The variable rate is applied to every 1,000 gallons.
FIXED RATE
The minimum fixed rate is calculated by spreading the capital costs across all customers. This rate recovers capital equipment costs, expenditures for capital improvement projects, and annual debt repayment. The debt repayment covers the annual payment for monies borrowed for major capital improvement projects such as wastewater treatment plant expansions. For more information on the River Authority’s debt obligations click here.
