From the Windsor Beacon:
It’s not cheap. And, it won’t be getting cheaper any time soon, water consultants say.
That’s why they are recommending that the town buckle down, buy additional water, and take part in the Northern Integrated Supply Project, or NISP, that will essentially build two new reservoirs for Windsor and 14 other municipalities. What might that cost us? Are you sitting down? $46 million. That’s a 46 followed by six zeroes. We don’t need to tell you that’s a big number. You can figure that out by yourself. That breaks down into $40.4 million to be a partner in NISP and $5.5 million to purchase 300 acre feet of water for future development…Water consultants, hired by the town earlier this year, have identified some options. They presented those options to the town board last Monday night. They were:
> Increase the town’s rates by 5 percent every year for five years beginning in 2011, while also increasing the fee charged to developers to add new taps to the water supply system or . . .
> Increase the water rates by about 5.2 percent every year or . . .
> Increase the town’s rates by 5 percent and add a water resource fee to developers’ costs.
The town board, after hearing the options, took a look at its tiered water rate system. Windsor currently uses a two-tiered residential system, with a fee of $3.20 for every 1,000 gallons of water used up to 17,000 gallons. When that threshold is reached, the rate jumps to $4.80 per 1,000 gallons.
More coverage from Ashley Keesis-Wood writing for the Windsor Beacon. From the article:
“The question we’re setting out to answer is: What it will cost to fully fund NISP (Northern Integrated Supply Project) and anticipate what you’ll need to pay for additional water in the future?” said Webster Jones, a consultant with the Water Consulting Group, during last Monday night’s joint Water and Sewer Board and Town Board work session…
The town commissioned a water rate study from Clear Water Solutions in January, most of which was paid for by a grant from the Colorado Water Conservation Board. Water Consulting Group is working with Clear Water Solutions on the study. The water rate study will look at the way the town’s water payments are structured and options to raise money for the town’s $40.4 million share of the NISP project…
With that in mind, Jones presented three options to the boards to acquire the money. The first option would increase the town’s rates by 5 percent every year for five years beginning in 2011, while also increasing the fee charged to developers to add new taps to the water supply system…
A second option would increase the water rates by about 5.2 percent every year, and a third option would increase the town’s rates by the 5 percent as well as adding a water resource fee to developers’ costs. “That’s about $500 per tap and is added to only new taps when developers build,” Jones said…
The board also began discussion about its tiered water rate system. Currently, Windsor has a two-tiered residential system, with a fee of about $3.20 for every 1,000 gallons of water used up until about 17,000 gallons, when the rate jumps to about $4.80 per 1,000 gallons. “A three or four-tiered system is pretty popular among conservation-minded communities, with steep price increases going up each tier,” Jones said.