The settlement is still to be reviewed by the presiding PUC administrative law judge, as well as the full Commission, with a final decision expected on or before December 16, 2021.
This settlement includes a $21 million total revenue increase phased in over two years. In 2022, revenue will increase by $17 million, and in 2023 it will increase by an additional $4 million.
The average residential customer using 3,000 gallons of water per month will see an increase of $5.65 in 2022 and an increase of $1.44 in 2023.
The settlement also includes proposed enhancements to our customer assistance programs, adjusted development fees, and a financial incentive for consumers to enroll in auto-pay.
Stormwater Fee
PWSA also proposes to establish a new stormwater fee that will restructure how customers are charged for stormwater service.
By basing the new fee on the hard or impervious surfaces on a property, we can ensure that all property owners in Pittsburgh contribute a share that is proportional to the amount of runoff generated by their property.
This is a more equitable way to charge for stormwater and is different than our current rate structure, which is based on water usage.
As part of the implementation of the new stormwater fee, wastewater conveyance rates will decrease since the new stormwater fee will begin to recover the stormwater costs previously included.
To provide customers with safe and reliable water, sewer, and stormwater services, the Authority said they must invest in the infrastructure used each day.
The Authority is currently implementing a $1.2 billion capital program that includes replacing water mains, rehabilitating aging sewer lines, constructing new stormwater infrastructure, and implementing the Water Reliability Plan - a series of once-in-a-generation projects to renew key components of our water production and distribution systems.
As a publicly owned and managed water, sewer, and stormwater authority, every dollar they receive from ratepayers is reinvested back into the infrastructure and the improvements they are making to provide high-quality services to our customers.
How was the stormwater fee determined?
Impervious surface is the hard surface on a property such as roofs, sidewalks, and parking areas that do not absorb stormwater. These hard surfaces generate stormwater runoff that collects trash and sends polluted water into local waterways.
Runoff can also overwhelm our sewer system causing streets to flood, basements to backup, and sewage to overflow into rivers and streams.
In Pittsburgh, the average amount of impervious surface on a property is approximately 1,650 square feet. This is equal to one equivalent residential unit (ERU) of impervious surface, which is the unit of measure for calculating the stormwater fee and is accepted as the industry standard for determining a stormwater fee.
The stormwater fee will be applied to all residential and non-residential properties in Pittsburgh. Click Here for fee table.
Most residential properties, approximately 70 percent, fall within the Residential Tier 2 classification and will be charged the flat rate of $5.96. Tier 1 is half the amount of Tier 2 or the base rate and Tier 3 is twice the amount of the base rate and the remaining 30 percent of residential properties fall into these two categories.
All non-residential properties will be charged the base rate multiplied by the number of ERU’s on their property. Eligible low-income customers will receive a discount off the stormwater fee.
PWSA has been focusing on improved stormwater management for several years.
Currently, several initiatives are underway that will establish a comprehensive approach to managing stormwater. This includes developing a stormwater master plan, updating city codes and ordinances, and constructing innovative stormwater solutions across the city.
After deliberate analysis and input from stakeholders, the stormwater fee will begin to address the wet weather challenges experienced in Pittsburgh. It will provide a dedicated funding source to improve stormwater management, build innovative stormwater infrastructure, reduce sewer overflows, and lessen the amount of pollution entering our rivers and streams.
A stormwater fee based on impervious surface is a more equitable way to charge for stormwater. Our rates are currently based on water usage, which does not consider the amount of runoff generated by a property.
Using impervious surface as the standard unit of measure will ensure that each parcel within the city of Pittsburgh is contributing a proportional share to help address our most pressing wet weather challenges.
“The new stormwater fee is perhaps the greatest change we have made to our rate structure, and it will significantly change how we fund stormwater management in Pittsburgh,” stated Will Pickering, Chief Executive Officer of the Pittsburgh Water and Sewer Authority. “We appreciate the input received from the public and our stakeholders as we worked to develop the fee. We will continue our outreach and education to residents and property owners to ensure they are aware of how it will be applied to their bill and how it is being used to invest in needed stormwater infrastructure.”
For more information about our plans to manage stormwater, please visit the Authority’s Stormwater webpage.
Click Here for more information on water and sewer rate changes.
[Posted: September 8, 2021] PA Environment Digest
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