Water Rates in Delaware and Surrounding States (Draft 2014)
Date
2014-09
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Abstract
The Water Resources Agency at the University of Delaware Institute for Public Administration conducted an inventory of water rates for public- and investor-owned water utilities within Delaware
and the surrounding states of Pennsylvania, New Jersey, and Maryland. This 2014 survey is an update of previous reports prepared in 2000, 2004, 2008, 2011, 2012, and 2013.
Note that the costs and rates charged for water services differ in many respects between public and investor-owned purveyors. For example, public purveyors have tax payer sources of capital and revenue that are assumed by the tax payers but are not reflected in the water rates. For such public purveyors, finances can be intermingled with other municipal departments, thus revenues and costs are shared with other municipal functions. Investor-owned purveyors, unlike public purveyors, can charge rates to cover operating costs and reap a potential profit. Additionally, expenses paid by investor-owned purveyors, primarily taxes, are not paid by the public purveyor. It is important to consider this information related to water service and rates charged for water service (which often varies by state) when comparing public and investor-owned purveyors. Additional information on this topic can be found by reading the EPA Four Pillars Approach – Rates that Reflect the Full Cost of Services at http://www.epa.gov/waterinfrastructure/.