FACT SHEET: 2011 Rate-Supported Budget Highlights

Administration proposes changes to the water rates in accordance with the long-term Drinking Water System Financial Plan, approved last February 2010. This Plan maintains our affordable water rates and moves the City towards:

• sustainability, in keeping with Provincial legislation that mandates drinking water system owners to prepare financial plans to raise adequate financial resources to provide safe drinking water today and into the future
• continuation of a progressive water rate structure that benefits those who conserve

Highlights of proposed changes for residential customers:
1) Fixed cost, will total $201.17 a year for single detached residential properties
2) “Volumetric” charge for water used will be $1.2059/m3

For the average Thunder Bay household, the proposed 2011 water rate equals a $55.34 increase, or 14.3%, over 2010 rates, with total costs for all water services averaging only $1.21 a day.

Wastewater charges will equal 75% of the total water fixed cost and volumetric charge.

Highlights of proposed changes for non-residential customers:
3) Fixed cost will vary based on meter size
4) “Volumetric” charge for water used will be $0.743/m3

For industrial, commercial and multi-residential buildings, small sized average consumption customers will also see an increase of 14.3% over 2010 rates.

Wastewater charges will also equal 75% of the total water fixed cost and volumetric charge.

Affordability
Thunder Bay water rates remain affordable.  For the average Thunder Bay household, the proposed total costs for sewer and water average $774.10 for 2011, or 1.48% of median household income, based on 2006 Census data. The industry standard is that rates are affordable for a combined water/sewer bill of 4% of median household income. 

Thunder Bay’s sewer and water rates remain among the lowest for high consumption industrial, institutional and commercial customers, based on the BMA Municipal Study 2010 Report.

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Contact:   Darrell Matson, General Manager – Transportation and Works, 625-3077
                Kerri Marshall, Manager – Environment, 625-2836