CMD Rate & Fee Changes

Chester Metropolitan District (CMD) will be changing its water rate structure beginning in late summer of 2018. The CMD Board of Commissioners endeavored to develop a rate structure that was equitable to residential customers.  CMD hired Raftelis from Charlotte, North Carolina to review our existing water rate structure and propose a rate structure that will strike a fair balance between residential and industrial customers.

Effective September 1, 2018, CMD will no longer charge customers through a “declining block” water rate structure. A declining block water rate structure caters to large (mostly industrial) water users because the price per gallon of water goes down as water usage goes up.  Under the new structure, all customers – residential and industrial – will now have a “base rate” calculated on meter size and will pay the same flat rate per 1000 gallons of water used.  This new flat rate is $7.19 per 1000 gallons.

Customers will no longer see additional fees, such as the “Residuals Management Fee”, “DHEC Fee”, and “Capital Projects Fee.” Those charges are no longer listed as separate line items on the water bill and the charges have been included in the base rate charge and the uniform water rate.

 

Table One – Old Rate and New Rate Comparison

 

CMD’s 2017 Revenue Bond Resolution calls for a 7% water rate increase each year over the next few years.  A 7% water rate increase has been applied to the new water rate structure this year.  However, most residential customers can expect to see a decrease in their average monthly water bill, as evidenced above in Table One.

Referencing Table One, the column designated as Current Charges represents existing water charges under the old rate structure.  The column designated as 7% Increase Charges increases the current water charges by 7%.  The column designated Proposed Charges ¾” represents the new water charges using the new water rate structure.  The last column designated as Savings represents the reduction in new water charges versus the old water charges with a 7% rate increase.

The new water rate schedule met the goals of the CMD commission to develop a water rate and water rate schedule that is fairer to residential customers than the old water rate schedule.  The new water rate schedule and the proposed 2018-2019 CMD Budget were presented in two public hearings at the Chester County Library on June 27, 2018.  The public hearings were held at 2 pm and 5 pm in the Jean White Room.  The 2018-2019 CMD Budget was approved in a special call meeting of the CMD Commission held on June 29, 2018.

CLICK HERE TO SEE CMD’S CURRENT RATE AND FEE SCHEDULE.

 

Capital Recovery Fees for Water are in Effect

Chester Metropolitan District (CMD) has begun the process of imposing Capital Recovery Fees for all new development in Chester County. Customers who apply for new taps (new service; one not currently connected to CMD’s water system) will be subject to these fees, as advertised in previous articles.  The proposed capital recovery fee schedule was presented in a public hearing at the Gateway Conference Center at 6 pm on May 31, 2018.  The CMD Commission approved the capital recovery fee schedule at the June 12, 2018 monthly board meeting.

CLICK HERE TO DOWNLOAD THE CAPITAL RECOVERY FEE SCHEDULE.

CMD Notice of Public Hearing: 2018-2019 Budget

The Chester Metropolitan District will hold a public hearing in the Chester County Library’s Jean M. White Room, located at 100 Center Street at 5:00 P.M. on June 27, 2018 for the purpose of public input concerning the proposed Budget for the fiscal year 2017-2018.

The Chester Metropolitan District has contracted with Raftelis of Charlotte, North Carolina to develop a new water service rate schedule, as outlined below.

This new water service rate schedule will go into effect for all customers beginning September 1, 2018.

Water Service Base Rate

(Based on Meter Size)

3/4″  $    14.35
1″  $    21.52
1.5″  $    39.26
2″  $    60.64
3″  $  110.56
4″  $  181.87
6″  $  359.96
8″  $  573.76
10″  $  823.27

Volumetric Usage Rate

per 1,000 Gallons  $      7.19

The following fees will go into effect July 1, 2018:

Fire Line Fees
    Current   |  Proposed
10”  $    203.95  |  218.00
8”  $    193.15  |  207.00
6”  $    163.44  |  175.00
4”  $    135.07  |  145.00
Tap Fee
  Current     |  Proposed
1″ or smaller, simple install  $ 1,391.00 | 1488.00
All others — Cost of Installation
Other Fees
  Current     |  Proposed
Non-Payment Fee*  $      45.00
After Hours Reconnect Fee  $      65.00 | 69.00
Pulled Meter Fee  $      65.00 | 69.00
Late Fee  $        3.00

Engineering Fees

Backflow Test Fee  $    12.00 per result
Plan Review Fees  See Review Fee Schedule

Hydrant Meter Fees**

Refundable Deposit  $  100.00
Single Day Permit  $    50.00
15-Day Permit  $  100.00
30-Day Permit  $  200.00 renewable before expiration
Relocation Fee  $    35.00

*Non-Payment Fee – replaces the “Reconnect Fee”

** Hydrant Meter Fees – replaces the “Hydrant Meter Permit Fee”

                                                                       

FY 2017-2018             FY 2018-2019          Percent Change

Revenue                           $6,437,536                  $7,221,548                  +12.17%

Expenditures                     $6,437,536                  $7,221,548                  +12.17%

 

The Chester Metropolitan District does not receive revenue through taxation.

High Bills & Unusual Billing Dates

HIGH WATER BILLS?

The Chester Meter Replacement Project is currently underway. Crews from Ferguson Waterworks are working to replace all water meters in Chester Metropolitan District’s system with new radio-read meters. Because many of the meters being replaced are older and may be under-registering water use, customers may receive a higher bill than expected on the month immediately following the replacement.

If your bill is significantly higher than your average, please call or visit our office. Our staff will be able to provide additional information on your account.

RECEIVING WATER BILLS LATER THAN USUAL?

In addition to the meter replacement efforts in Chester, CMD has experienced challenges in delivering water bills to customers on normal schedules. These challenges are a result of mandatory software upgrades to our billing system. Bills are currently leaving the CMD office approximately ten (10) days later than usual. The number of days to pay your bill has not changed. CMD expects to replace its billing system with a newer, more reliable system over the next ten to twelve months to improve billing schedules and customer service.

We apologize for the inconvenience and encourage any customer concerned with missing a payment to sign up for automatic draft.

As always, please contact our office with any questions or concerns.