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ACWA’s 2012
is now available. For
the eleventh straight year the increase in the average
cost of wastewater services for a single-family residence
has outpaced the rate of inflation, as measured by the
Consumer Price Index (CPI). The 2011-
2012 increase is, however, the lowest in
more than 10 years, during which average
residential charges increased an average
of 5.6 percent per year. In 2012, the aver-
age service charge increased by 2.8 per-
cent, while inflation rose by 2.1 percent,
with the average single family’s annual
cost for wastewater services topping $410.
Charges Projected to Reach $500 in 2016
More than 75 percent of respondents reported having approved or
planned rate increases for 2013, averaging about 5 percent. More
than half of respondents already have approved or planned rate in-
creases for 2014 through 2016, indicating that many communities
are increasingly putting in place long-term spending plans. The
results from the
NACWA Index
survey continue to indicate a steady
rise in the average service charge over the next five years, with annual
charges topping $500 by 2016, and approaching $550 by 2017.
Regional Data Provide More
Complete Picture
Regional level data, which better account
for the cost of living and other variables,
often provide more accurate benchmarks
for utility managers. The minimum and
maximum values from each of the ten
U.S. Environmental Protection Agency
(EPA) regions provide the range of values
that make up the national average annual service charge of $410,
with median annual charges ranging from a low of $226 in EPA
Region 8 – to a high of $429 in EPA Region 3.
NACWA has published the
Service Charge Index
annually since
1986.
Service Charge Index Released,
Increases Again Outpace Inflation
2
W
t
ith NACWA remains focused on assisting clean
water utilities in the implementation of the U.S.
Environmental Protection Agency’s (EPA) Integrated
Planning Framework, while ensuring that they have
the information and support they need to tap into the Agency’s
promise of greater flexibility. As a central component of its ongoing
efforts, the Association is hosting, together with the Association of
Clean Water Administrators (ACWA) and the Water Environment
Federation (WEF), a series of workshops to facilitate implementa-
tion of the Framework. NACWA is also urging Congress to support
integrated planning by providing funding to support community
pilots in the fiscal year (FY) 2014 EPA budget.
Successful IP Workshops Held in Regions 10 and 5
NACWA, ACWA and WEF continued a busy spring season by host-
ing workshops in Regions 10 and 5. On April 3 more than 80 stake-
holders, including NACWA members, EPA staff, and state regula-
tors, met for a Region 10 Workshop in Portland, Ore. – held in col-
laboration with the Oregon Association of Clean Water Agencies.
Four weeks later, on May 1, Wisconsin, Illinois, Indiana, Ohio and
Michigan utilities voiced experiences with integrated planning and
participated in spirited discussions with state regulators and EPA
staff at a Region 5 workshop in Indianapolis, Ind. Both workshops
focused largely on how some of the most challenging aspects of in-
tegrated planning – dealing with more stringent water quality stan-
dards and handling sanitary sewer overflows, for example – could be
addressed in the permitting context. Participants’ concerns with af-
fordability were also addressed, with EPA staff noting that Clean Air
Act (CAA) and other Clean Water Act (CWA) stressors could be con-
NACWA Hosts Integrated Planning Workshops,
Promotes Pilot Program
For the eleventh straight year the
increase in the average cost of
wastewater services for a
single-family residence has
outpaced the rate of inflation.
NACWA is poised to release a new white paper that explores the op-
portunities for more rational financial capability assessment. The
Association has long advocated for wholesale revision of the U.S.
Environmental Protection Agency’s (EPA) 1997 guidance on financial
capability to incorporate a more holistic, prioritization-based approach
that looks at a range of indicators to assess the economic and environ-
mental soundness of a particular investment. With the release of its
Integrated Planning Framework in June 2012, EPA embraced this type of
prioritization for Clean Water Act programs; however, the Framework
continues to rely on its outdated 1997 guidance to assess the financial
capability of communities to make CWA investments. NACWA’s new
white paper outlines how adopting a revenue forecasting approach will
better enable the type of prioritization envisioned by the Integrated
Planning Framework.
The Evolving Landscape for Financial Capability
Assessment
�
Clean Water Act Negotiations and the Opportunities of Integrated
Planning
was released at the end of May.
New Financial Capability
White Paper Slated for Release
