Press Release: MDC Board to Vote on 2023 Budget and Rates

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Comparison Average MDC Bill 2022 vs. 2023

Water rate to decrease by 7%, Zero increase to sewer tax

December 2, 2022
For Immediate Release

– The Metropolitan District Commission (MDC) is scheduled to vote to adopt the 2023 budget that includes water and sewer rates at the December 5th meeting of the District Board.  The entire budget setting process again included six public meetings as well as collaboration with the town managers and finance directors of the MDC’s eight member towns. The MDC provides two separate essential services, drinking water and wastewater collection and treatment. The MDC will consider a $204 million water and sewer budget that is a 2.1% decrease from 2022.

For 2023, the Water Use Charge, based on volumetric usage, will decrease 7.1% from $4.09 per ccf to $3.80 per ccf (A ccf is equal to approximately 748 gallons of water), an annual decrease of $29 for an average residential customer that uses 100 ccf.  The Water Customer Service Charge, a fixed monthly charge of $14.98, will stay flat for the fifth straight year. In addition, the Sewer Customer Service charge will not increase from last year’s rate of $9 per month.

The Clean Water Project Charge (CWP), also based on volume, will increase from $4.10 per ccf to $4.25 per ccf for an average annual increase of $15.  The CWP Charge, which remained flat for the last four years, is solely to pay for the principal and interest on bonds and loans issued to finance the Clean Water Project, a major sewer infrastructure capital improvement project mandated by the federal and state governments for the eight member towns that have water and sewer service. The CWP Charge remains the largest portion of the water bill.

Under the proposed budget, a member town customer that uses 100 ccf of water per year would see a decrease in their entire water bill of $14 for 2023 or 1.3%. The MDC’s water rate was already the lowest for any similarly sized water provider in Connecticut prior to the 2023 rate decrease.

The majority of the MDC’s standard sewer operations are funded by an ad valorem tax, a direct bill to the MDC’s eight member towns that is recovered as part of municipal property taxes. For the second time in the last three years, the ad valorem tax will have zero overall increase.

MDC cites significant savings with employee medical costs, insurance, retiree healthcare contributions, and bond refunding as well as a significant workforce reduction over the last decade as some of the major drivers for the 2023 budget decrease.

CEO Scott Jellison stated, “We are thrilled to put forward a budget that gives relief to MDC ratepayers and towns, especially in such a difficult economic climate. MDC rates are among the best value for any utility in Connecticut.  Credit goes to our Board and employees who have all worked to find significant savings in order to keep the MDC on a stable financial path for the past several years and ensuring it remains well positioned for the future. We’re seeing the benefits of those efforts now.”