Sewer Bill Compared to EPA Affordability Metric
EPA uses 2 percent of Household Income as the threshold of sewer bill affordability
2.5%
2.0%
15% 1.4% 1.4%
1.2%
1.0%
1.0%
0.8% 0.8%
9 0.6% 0.6%
a 5 0.5% oe ee nay 0:5% 0.5%
- 7 alk i B of |
0.0%
20th Percentile 40th Percentile 60th Percentile
mag pct. HHI 2020 mam pct. HHI 2021 mam pct. HHI 2022 mam pct. HHI 2023 = EPA Affordabilty Thresholds
Proposed Residential Sewer Increases 2021 through 2023
A 20 percent increase in sewer user fees in 2021 followed by a 15 percent increase in 2022 and no increase
(0 percent) in 2023
sitet Oe fe
Rate per CCF $2.36 $2.83 $3.26 $3.26
Quarterly Flat $31.94 $38.33 $44.08 $44.08
Charge
Average $79.14 $94.97 $109.22 $109.22
Household
Quarterly Bill
Increase iN ——s === === === $15.83 $14.25 $14.25
Average Quarterly
Household Bill
Comparison of Nashua Residential Sewer Rates with Selected
Regional Rates (2020)
Estimated Quarterly Household Bill based on water consumption of 20 CCF
teeny Ci Fee per CCF Household Quarterly Bill
Historic Volumetric Charges for Sewer Services
The volumetric charge is the fee charged to a customer based on how much water the customer uses.
Volumetric Charge For Sewer Services 2004-2020
$2.50
$2.00
$1.50
$1.00
$0.50
S-
2004 2005 2006 2007 2008 2009 2010 2012 2013 2014 2015 2016 2017 2018 2019 2020
The 2004 volumetric charge of $1.66 per hundred cubic feet is equivalent to $2.31 in 2020 dollars. The 2020 charge
was $2.36 equating to a “real” increase of just 2 percent over 16 years.
Hazen 3
Agenda
¢ Historical Rates and Proposed Sewer Rate Increases for 2021-2023
¢ Primary Drivers of Required Rate Increases
¢ Planned Major Capital Investments
¢ Funding Strategies to Minimize Capital Expenditures and Rate Impacts
¢ Comparison of Nashua Sewer Rates with Selected Cities in New Hampshire and Massachusetts
¢ Affordability of Nashua’s Proposed Sewer Rates using EPA Metrics
¢ Future Strategies to Mitigate Impacts of Mandated Future Capital Expenditures: Integrated
Planning Framework Initiative
* Conclusions
Special Board of Aldermen 10-27-2020 Page 8
ADJOURNMENT
MOTION BY ALDERMAN SCHMIDT THAT THE DECEMBER 8, 2020, SPECIAL MEETING OF THE
BOARD OF ALDERMEN BE ADJOURNED BY ROLL CALL
A viva voce roll call was taken to adjourn the Board of Aldermen meeting which resulted as follows:
Yea: Alderman O’Brien, Alderwoman Kelly, Alderman Dowd,
Alderman Caron, Alderman Clemons, Alderman Tencza,
Alderwoman Lu, Alderman Jette, Alderman Schmidt, Alderman Laws,
Alderman Cleaver, Alderman Harriott-Gathright
12
Nay: 0
MOTION CARRIED
Special Board of Aldermen 10-27-2020 Page 7
Alderman Schmidt
Thank you, Mr. Chairman. | just would like to ask if we could get copies of this please, your presentation.
Could you include a description of the acronyms that you are using.
Vice President O’Brien
And Director Fauteux is saying yes and | think copies ...
Alderman Schmidt
Thank you.
Vice President O’Brien
Special Board of Aldermen 10-27-2020 Page 6
Alderwoman Lu
Yes, could | just ask a follow up question? Would you say — so have there been deferred capital
improvements that now just need to be done?
Mr. Ayotte
Special Board of Aldermen 10-27-2020 Page 5
