Tiered Rate Structure Frequently Asked Questions
For more information, contact us at newwaterrates@durhamnc.gov
Durham implemented its tiered rate structure effective fiscal year 2009. Each year, the Department of Water Management evaluates the rates to determine if increases are necessary. If approved by City Council, new rates are reflected in August bills for monthly customers and September bills for bi-monthly customers.
The tiered rate plan includes five tiers for single family residential customers, based on water usage. All non-residential customers are set at the Tier 3 rate, and all irrigation accounts are set at the Tier 5 rate. Water and sewer service charge increases are also included in the new structure.
The tiers are designed to reward customers who use less water by charging the lower rates. The more water a customer uses, the higher the tier and charges for water use.
The rate tiers reflect what the City charges for 100 "units" of water as shown on bills. Each unit is 1 cubic foot, or 7.48 gallons. A customer using 400 units over the two-month period will be charged at the Tier 1. A customer using 1,200 units over the bi-monthly period would be charged at the Tier 1 rate for the first 200 units of each month, at the Tier 2 rate for the next 300 units of each month and at the Tier 3 rate for the remaining amount used each month.
Rates help pay for large capital projects including a new automated meter reading system, a new elevated water storage tank, additional water supply options (such as Jordan Lake), interconnections with other utilities and plant and system rehabilitation projects.
Like to determine your new rate based on your current water use? Use the City's on-line calculator and have your current bill handy. Fill in the following information: billing frequency, meter size and consumption to determine charges at each tier level. More information about the new structure along with water saving tips, are available on the City's Web site, or you may call Durham One Call at 560-1200 or the Department of Water Management at 560-4381.
Below is the new tiered rate structure for inside-city customers. For outside customers, the water and sewer rates are double.
| Monthly Water Rates | FY 10 Rates |
FY 11 Rates |
FY 12 Rates |
|---|---|---|---|
| Service Charge | $5.12 | $5.35 | $5.56 |
| Volume Charge - Tiered Rates (per 100 cubic foot - ccf) |
|||
| Tier 1 (0 - 2 ccf) | $1.72 | $1.72 | $1.73 |
| Tier 2 (> 2 - 5 ccf) | $2.59 | $2.59 | $2.60 |
| Tier 3 (> 5 - 8 ccf) | $2.84 | $2.84 | $2.85 |
| Tier 4 (> 8 - 15 ccf) | $3.71 | $3.71 | $3.72 |
| Tier 5 (> 15 ccf) | $5.56 | $5.56 | $5.57 |
| Monthly Sewer Rates | |||
| Service Charge | $5.71 | $6.24 | $6.49 |
| Volume Charge (per ccf) | $3.28 | $3.28 | $3.56 |