Columbia City Council held a pre-council meeting and a council meeting tonight where it voted unanimously in favor of an adjustment to the water rates.
Under the current water rate system, customers' summer bills are based on 70% of their average winter water usage, with higher tiers applied if that baseline is exceeded.
The new policy adjusts water rates to be based on 100% of actual monthly usage, eliminating the 70% model.
Higher usage will still result in higher rates; however, instead of winter usage determining summer rates, charges will now be based on current usage.
City officials say approximately 65% of residential customers and 50% of commercial customers will see a reduction in their bills. Columbia residents who use high amounts of water will likely see an increase in their water bills.
“It takes the burden of pain for those peak usages off of the people that don’t necessarily use it during the peak time,” said Jason West, communications and outreach supervisor for Columbia Utilities, “and puts it squarely on the people that do use the most water.”
Fees related to water have also been adjusted, with all water connection fees being increased.
The new structure applies year-round and eliminates the distinction between summer and non-summer billing periods.
City officials say the proposed 12% increase in water utility revenue is necessary to cover rising operational and maintenance costs, maintain cash reserves, and meet debt coverage requirements.
"The purpose of our water rate is for water conservation," said Erin Keys, director of Columbia Utilities. "That's why we have multiple tiers and that is what came out and the cost of service. The peak days, peak hours users put a greater demand on our system and that is where we need to recover those costs."
Both the rate and policy changes will go into effect on October 1.
