Customer Care & Operations
DC Water Issues One-time Customer Rebate in 2013
DC Water will issue a one-time rebate to customers' bills in early 2013. The credits will appear on bills beginning in January. Depending on bill cycle and account status, some customers may receive the credit as late as April.
In July, the Authority's Board of Directors approved a customer rebate with a total of about $4.2 million to be paid on active accounts for billed usage during FY 2012. Customers will be refunded $0.10 per Ccf and $1.00 per ERU. The average household rebate will be slightly more than $9.00. If a customer's rebate exceeds the bill, the remainder of the credit will be applied to the next bill. Those who participate in the Customer Assistance Program will be credited based on their billed consumption that is not covered by the CAP program.
DC Water relies on customer bill payments to fund its operations and capital projects. Each year, management takes a long-term look in developing a proposed budget and a rate structure to support that budget. Through exceptional management and sound financial planning, DC Water finished Fiscal Year 2012 (which ended September 30, 2012) with a surplus.
"Our customers trust us to spend their money wisely," said General Manager George S. Hawkins. "We take that stewardship responsibility very seriously. This year, our teams did the job with a little less than we anticipated, and we feel the right thing to do is to give some of that back to our customers, while also offsetting a little of the upcoming rate increases."
- Applies to net billed revenue (no additional credit for revenues cancelled such as corrections for leaks or estimated meter readings)
- Applies to active customers only
- Is applied as a bill credit to be used against future consumption
- Customer Assistance Plan (CAP) customers get credit for billed consumption. CAP customers receive the first 4 Ccf's of water services and the first Ccf's of sewer services free of charge, monthly. Since this amount was not paid by them, their refund is based on the water and sewer use that they paid for.
- No credit to closed accounts in bad debt/non-pay status
- Excludes DC Water, Washington Aqueduct and 1 Exempt account, but otherwise applies to all other customers
In July, the DC Water Board of Directors voted to allocate the projected surplus by:
- Authorizing $4.2 million for this rebate for our customers.
- Shifting $5 million to pay-as-you-go financing, saving on the interest cost of future capital projects. Customers benefit when we pay less interest.
- Adding $5.5 million to our Rate Stabilization Fund, which helps underwrite the rates for Fiscal Year 2013, to keep the customer rate increase as low as possible.
- In addition, our wholesale (suburban) customers who pay into the cost of operating the wastewater collection and treatment system will receive an estimated $5.8 million refund for their overpayment. This is a contractual obligation of DC Water.