Tiered Water Bill

In order to encourage water conservation, most water utilities have adopted a tiered billing structure for all types of property classes – including multifamily. As water consumption per apartment unit reaches higher levels, the rate per unit increases for set intervals – the definition of tiered water bill. For examples, below are tier structures in Tampa, Colorado Springs and Miami-Dade.

Tampa’s multifamily water and sewer bill structure:

Apartment Customer Class:  Multi-family (a)

Inside City

Outside City

Tier 0

0 to 2 ccf* per month (first 2 ccf per month, per ccf)

$2.09

$2.61

Tier 1

3 to 6 ccf* per month (next 4 ccf per month, per ccf)

$2.43

$3.03

Tier 2

7 to 12 ccf* per month (next 6 ccf per month, per ccf)

$4.07

$5.08

Tier 3

13 to 21 ccf* per month (next 9 ccf per month, per ccf)

$5.44

$6.80

Tier 4

Over 21 ccf* per month (in excess of 21 ccf per month, per ccf)

$6.28

$7.85

* ccf = 100 cubic feet or 748 gallons.

(a) Calculation is based on the number of dwelling units X the tier range.

Due to drought conditions, Colorado Springs announced what amounts to an additional 25% surcharge rate for its “Block 3” water bill tier:

Tiered water rates as of Aug. 1, 2013

Monthly use

CF = cubic feet

Note: One CF = 7.48 gallons

 

Non-water shortage pricing
(Inside city)

Water shortage pricing
(Inside city)

Block 1

Up to 999 CF/$0.0311 per CF

Up to 999 CF/$0.0311 per CF

Block 2

1,000 to 2,499 CF/$0.0584 per CF

1,000 to 2,499 CF/$0.0584 per CF

Block 3

2,500 CF or more/$0.0885 per CF

2,500 or more CF/$0.0885 per CF

Water surcharge

None

$0.0221 per CF 2,500 CF or more

In Miami-Dade, the multifamily tier structure for water and sewer  is even more dramatic. Effective Oct. 1, 2013: 

  • For 0 to 4 CCF per unit – $.03740 per CCF
  • For 5 to 7 CCF per unit – $2.5254 per CCF
  • For 8 to 14 CCF per unit – $3.154 per CCF
  • For 15 CCF per unit and over – $4.1705 per CCF

CCF = 100 cubic feet or 748 gallons

As water and sewer costs are already expensive and becoming more so, submetering and charging tenants for water has become a necessity. Varioius studies sponsored by utilities, the EPA and National Multi-Housing Council show that submetering lowers consumption 15% to 39%. Are you paying double the rate for that last 15% to 39%?

For a free analysis of you water and sewer bill, contact the water bill expert.

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