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Denver Water seeks rate hike

Utility considers boost of 7.5 percent for 2009; board may vote Sept. 24

By Jerd Smith, Rocky Mountain News

Published September 3, 2008 at 12:05 a.m.

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Denver Water is considering a 7.5 percent rate increase for 2009 as it seeks more money for operating costs and system expansion.

If the Denver Water Board approves the increase, Denver homeowners would see bills rise on average $19.14 in 2009, while the board's suburban residential customers would see rates rise $33.12 annually.

"Some people with intensive water use might see their bills go up more than that," said John Wright, manager of rate administration.

"Someone who was more judicious might see a lower increase."

The board is expected to vote on the rate hike Sept. 24. If approved, it would take effect Jan. 1.

Similar rate increases are being considered for industrial, commercial and government customers, as well.

Denver Water is Colorado's largest water utility, serving about 1.3 million customers.

Since the drought struck in 2002, the agency has raised rates almost every year, from 5 percent to 8 percent, on average, Wright said, to cover shortfalls caused by lower or flat water sales and rising operating costs.

In 2009, the utility will need an additional $18.5 million to cover such expenses as dredging Strontia Springs Reservoir, work that must be done as a result of sediment buildup caused by the catastrophic Hayman Fire in 2002.

Wright said the utility also would draw down its cash reserves to help cover costs and would collect additional funds from the sale of hydroelectric power and bonds.

smithj@RockyMountainNews.com or 303-954-5474

Breakdown on bills

The annual average for a Denver household consuming 120,000 gallons:

2002: $217

2003: $222

2004: $231

2005: $262

2006: $282

2007: $280

2008: $293

Public comment

* When: 9 a.m. Sept. 10; 5 p.m. Sept. 18; 9:15 a.m. Sept. 24;

* Where: Denver Water, 1600 W. 12th Ave.

* E-mail comments: Send to dbwc@denverwater.org

Comments

  • September 3, 2008

    8:57 a.m.

    Suggest removal

    peter303 writes:

    They could save money by eliminating all those hypocritical advertisements. Denver Water waters park zones 14 hours a week (Washington Park, Cheesman Park, 6th Street Greenway for sure) while they complain if the average homeowner waters a zone more than 1 1/2 a week.

  • September 3, 2008

    9:06 a.m.

    Suggest removal

    mmm58 writes:

    Now that's a shame! Everyone wants more and it's always on us to help them pay this, pay that..etc... Who can find the $$ to donate to real causes since we are continually donating any left over $$ to people and companies who can't hire managers to be fiscally responsible?
    What's in it for me? I have a corner lot...no sprinkler system and I limit my use. Are you going to help with a sprinkler system? What's perks are there? Xcel at least tries to work with us....
    Again, what's in it for me?

  • September 3, 2008

    11:44 a.m.

    Suggest removal

    toddterry writes:

    "Use only what you need" so we can raise our prices!

  • September 3, 2008

    4:39 p.m.

    Suggest removal

    luvwknd writes:

    This is BS I mean with all the moisture from the mountains over the winter one would think Denver and the front range would have some of the lowest water rates in the country, but NOOOOOOO! They gotta stick us where it counts, I guess if the city of Denver wants EVERYTHING to be brown, keep raping the citizens as I know I am not going to ever water my lawn again!

    Denver water rapes us, Xcel energy rapes us, Comcast/Qwest rapes us and if you're like me and work for the state, you get a measly 3-4% yearly raise! He11 the cost of living alone goes up 6% yearly so why stay working where you slide deeper and deeper into debt every year?

    VOTE OBAMA TO HELP STOP THIS MADNESS!

  • September 23, 2008

    4:08 p.m.

    Suggest removal

    Darko1556 writes:

    Sorry guys, but you all are off base. First of all: the City of Denver (Parks and Rec.) waters those parks, not Denver Water. Second of all, many of those parks are watered with recycled water from the waste water treatment plant in commerce city. It isn't your drinking water. It costs $1.81 per 1000 gallons of water. I beg you to tell me what you can for only $1.81. 1000 gallons of water weighs 8340 lbs.!!! It can flush your toilet 200 times. You can take 20 showers, you can water your lawn for over an hour and a half for $1.81. Comcast, Xcel, Quest, all make a profit off of your money, Denver Water is non-profit, there are no stockholders. AND not a dime of your tax money goes to them (Subsidies for all those other companies). Next time they raise your rates to maintain their profit margin, think about how fortunate you are to Denver water as you water utility. Some places the water utility is privitized and they make profit, other places they tax your income to pay for water.