• AWWA ACE94074
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AWWA ACE94074

  • Gaining Public Acceptance of Rate Increases
  • Conference Proceeding by American Water Works Association, 01/01/1994
  • Publisher: AWWA

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Water systems throughout the US are facing the challenge and dilemma of generating enough revenues to just stay even--not to mention projects to improve systems or comply with new regulations. And until someone somewhere finds another way, water utilities have to increase rates to generate additional funds. The author will discuss two Public Information projects--in one of the communities, the elected officials passed a new rate ordinance that included the increased rates. In the other, the rate increase was contingent upon a favorable vote on a bond referendum. Oddly enough, the Public Information activities for both projects were virtually the same. An outdated conventional wisdom holds that if all you need is an ordinance to change the rates, only a minimal Public Information program is needed, if any at all. This conventional wisdom is entirely wrong and if a water utility follows that course, it is quite likely that their customers will be angry. The anger will be based as much upon the fact that the utility ignored communications as upon the actual amount of the rate increase. The community that increased their rates through ordinance approached their project as though they did have to have voter approval. On the basis of our experience, every rate increase should be approached that way.

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