Water and sewer utilities set rates to cover all costs — the costs of operations, maintenance, overhead and plant investment. BCDES strives to make our rates as fair and as reasonable as possible. To make sure each customers pays an equitable rate, we periodically conduct two formal studies on the cost of providing water and sewer service. Commercial and industrial users pay their proportionate share, and residential customers pay the cost that applies to residential use. In addition to conducting studies, BCDES also has a number of other initiatives designed to stabilize rates for the future.

Part of our rate-setting philosophy for water supply has been conservation. BCDES uses an increasing-block rate structure, also called conservation rates, so the price per thousand gallons increases as water use increases. In other words, customers who use a lot of water and require the system to provide more capacity will pay a higher rate than customers who use less water.

For single-family residential customers, these rates are in effect in 2007:

Customers whose wastewater discharge flows to a pump station before going to the treatment plant will pay $4.23 per thousand gallons for all discharges, which includes the associated electrical and other added operating costs.

In the summer, BCDES reduces sewer charges to the average winter flow to allow for extraordinary summer use that does not go into the collection system. This adjustment applies to the three meter readings between June 1 and September 1.

How are rates determined?

• Debt Repayment — As a relatively young system, BCDES has a high cost for capital investment, paying off bonds and interest that was needed to build the water system and provide necessary capacity. Our average cost for water is higher than in an older city, such as Dayton or Cincinnati. Older systems have the advantage of having already paid off their debt.
• Purchased Water — Rather than build and manage a water plant, BCDES has long-term contracts to purchase water from two suppliers. The department weighed the cost to build its own treatment plant verses purchasing water from existing facilities. The lowest short and long-term cost is to buy water from Hamilton and Cincinnati.
• Geographical Area — Many any of our neighbors have a more condensed geographical system. In other words, they have more customers per square mile than BCDES which means they can spread their costs over a greater number of users. As our system grows, BCDES will capture more revenue from new customers which will help pay off our debt.
• Growth & Infrastructure Maintenance — BCDES’s service area has experienced a tremendous amount of growth in the past 10 years. To ensure that our system can accommodate this growing demand, we have implemented a capital  improvement schedule to replace and improve existing water and sewer lines and wastewater treatment facilities.
• Increasing Regulatory Environment — BCDES' services operate under strict state and federal rules and regulations. As a result, there are significant costs to maintain compliance. As regulations become more stringent, BCDES must make necessary improvements to ensure the public water supply is safe.

More information is available by calling 513-887-3066.