August 2017 Vol. 72 No. 8
Newsline
Household Water, Sewer Bills Outpace Inflation 3X
Residential water and wastewater bills have steadily increased by 5.7 percent annually over the past five years, outpacing average annual income growth (5 percent) and inflation (1.9 percent), and magnifying the financial challenges facing municipal water utilities. According to Bluefield Research’s “U.S. Municipal Water and Wastewater Utility Bill Index,” analysis of the 50 largest metropolitan areas in the U.S. shows combined monthly water and wastewater bills averaging $91.06, based on standard household consumption by geography.
With so much focus on water, the impact of sewer charges on household budgets is often overlooked. In 2017, wastewater represented 58 percent of the total average utility bill for U.S. households. Across cities, however, the disparity is extreme, with monthly sewer bills ranging from $14.04 in Memphis to a high of $135.57 in Seattle. Similarly, monthly water bills in Memphis averaged $15.96, compared to $92.62 in San Francisco.
“In the absence of an overhaul of federal and state water infrastructure support mechanisms, beyond state revolving funds and pending WIFIA funding, the burden falls largely on ratepayers,” said Erin Bonney Casey, director of US Municipal Water Research at Bluefield. “For municipalities, the use of surcharges outside of general rate proceedings, such as Distribution System Investment Charges and Atlanta’s Municipal Option Sales Tax, are expected to rise.”
FOR MORE INFORMATION
Bluefield Research, (617) 910 2540, bluefieldresearch.com
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