Revised Rate Memo 5.30.18 — File 206035

CITY OF SOMERVILLE, MASSACHUSETTS JOSEPH A. CURTATONE MAYOR WATER & SEWER DEPARTMENT John DeLuca Director May 29, 2018 Honorable Members of the Board of Aldermen: Pursuant to Chapter 11, Sections 11-125 and 11-164 of the Code of Ordinances of the City of Somerville, the table below outlines the proposed water and sewer volumetric rates for Fiscal Year 2019. These rates were presented at a public hearing and information session on May 14, 2018 and will also be presented with the FY19 budget for your review and consideration. The recommended FY19 rates represent the following: 1) no increase in the volumetric charges for water use; 2) a 5% increase in the volumetric charges for sewer use; 3) no change to existing base charges in both water and sewer; and, 4) the creation of a fire suppression charge for users with fire suppression systems. These adjustments are all consistent with the rate study completed during FY16 (see attached). FY2019 Volumetric Charges ($/unit) Tier Usage (units of 100 ft3) Water Sewer Combined 1 0-13 $4.14 $8.20 $12.34 2 14-67 $5.97 $10.46 $16.43 3 68-133 $6.26 $10.97 $17.23 4 133+ $6.50 $11.36 $17.86 (100 cubic feet is equal to 748 gallons) During the May 14, 2018 rate hearing and subsequent written testimony period, the Water & Sewer Department received testimony in opposition to the proposed fire suppression rates. In

response to the rate payers’ concerns, the Department has reviewed the proposed rate schedule and modified the recommended annual fire suppression charge. The new recommendations are shown in the table below: Recommended Annual Fire Suppression Charges Fire Suppression Line Size (in) Recommended Annual Charge 0.75 $34 1 $34 1.25 $48 1.5 $68 2 $109 2.5 $153 3 $204 4 $340 6 $680 8 $1,088 10 $1,700 Further information on the fire suppression charge can be found on page 8 of the 2016 rate recommendation memo from Woodard & Curran (see attached). If you have any questions feel free to contact me at jdeluca@somervillema.gov.