Earlier this month, the Public Utilities Commission approved a new rate structure for Portland Water District customers. The new structure increases revenue by 3.8 percent per year for three years and will be effective Jan. 1, 2007.
The PUC agreed to the incremental rate increase plan designed as a convenience to customers. They also approved a low-income program that will provide qualified residential customers with an average $62 annual water rate discount. The low-income program will be administered through People’s Regional Opportunity Program (PROP) and in place by July 1.
The rate increase does not affect wastewater fees, which are determined by city and town councils. Over the three years, revenue will increase by a total of 11 percent; however, rate changes will vary among volume blocks and customer classification.
This will be the first water rate increase request in over 12 years. In that time, water rates have actually decreased, averaging a 12 percent savings to customers. Even after the full rate increase, water rates will be relatively less then what they were in 1997.
The increase in revenue is needed to upgrade critical infrastructure and will fund upcoming projects to resize mains, install pumping stations, upgrade the water treatment plant to meet future regulations, and improve fire protection and capacity to growing areas.
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