2019 Water and Waste Water Rates Council Meeting March 25th, 2019

Components of a Central Elgin Water/Wastewater Bill Base Charge This is a consistent charge per month and is not tied to any consumption. Revenue assists to pay for continual operating costs (Flushing, Sampling, repairs regulatory operations such as DWQMS etc.) of the system as well capital replacement of the system including debt repayment. Every customer benefits from these components regardless of their consumption as the system is available to them. Consumption Charge Based on the amount of water a customer uses. Revenue assists in paying for the cost to supply the actual water. Purchase the water from a supplier (Elgin Primary Water System, St. Thomas Secondary Water System, Aylmer Secondary Water System, Port Burwell Secondary Water Supply)

Components of a Central Elgin Water/Wastewater Bill Base Charge This is a consistent charge per month and is not tied to any consumption. Revenue assists to pay for continual operating costs (Flushing and videoing of sewer mains, utility costs for treatment and pumping of sewage, repairs, etc.) of the system as well capital replacement of the system including debt repayment. Every customer benefits from these components regardless of their consumption as the system is available to them. Consumption Charge Based on the amount of water a customer uses. Revenue assists in paying for the cost to treat the waste water. Some of the Consumption Charge assists in paying for system replacement.

How are rates set The municipality has engaged the services of third party consultant with expertise in utility rate models. Consultant reviews projected annual operating costs, capital replacement cost, debt repayment schedules etc. Recommends rates based on costs, the existing and projected number of customers and the average consumption per customer. Study recommends rates based on a 5 year study duration. Study is then presented to Council and Council determines if it implements the rates. Studies were undertaken in 2001, 2007, 2012, 2018

Profile of Water and Waste Water Customers Total of 4062 Water Customers Average consumption of 140 m3 annually Wastewater Customers Total of 3362 Waste Water Customers Central Elgin customers pay the same water and waste water rates regardless of location they live.

Synopsis of Water Rates $0.88/month $0.31/m3

Synopsis of Waste Water Rates $1.05/month $0.21/m3

Bill amount (2month prd) Summary of Charges 2018 vs. 2019   2018 2019 Description of Charge Unit Prices monthly cost Bill amount (2month prd) Water Base Charge $17.62 $35.24 $18.50 $37.00 Water Consumtion Charge $3.09 $36.05 $72.10 $3.40 $39.67 $79.33 Waste Water Base Charge $21.01 $42.02 $22.06 $44.12 Waste Water Consumption Charge $2.64 $30.80 $61.60 $2.85 $33.25 $66.50 Total $105.48 $210.96 $113.48 $226.95 **Based on 140 cubic metres per year of consumption

Comparison of Residential Annual Water and Wastewater Bill (based on 140 m3)

Previous months reading Date of previous reading Date of current reading This months reading No. of days between readings Difference is the consumption for this period