In 2020 we conducted a cash flow analysis, put together a budget and ran out 5 year projections. It was discovered that our previous 2-5% annual increases were not sufficient to keep up with the changing economy and we had actually been running at a deficit for several years which had depleted reserves. It was determined that an estimated 34% rate increase was going to be necessary to secure cash flow needs. The Board recognized that 34% was going to be a large bump and decided to split the increase over a 2 year period. In 2021, a 16.3% increase was applied. After judicious application of the budget through 2021, the amount of the 2022 increase is actually 10.2%. After 2022, as long as inflation doesn’t take a tremendous leap, the regular 2-5% annual increases should be sufficient going forward.
Also in 2020, State v Aquavella, a 25 year lawsuit was finalized. The result of the courts decision changed the way our water units (shares) are calculated. The original formula was 10 acres = 1 Unit (share). The court determined this should now be 5.4 acres = 1 Unit (share). The result was that more water was awarded however since our billing structure is by the Unit, it also caused costs to increase. This change had the most impact on owners of property over 1 acre in size.
If your property is over 1 acre in size, the size will be reflected in the Service Address box on your invoice.