Thursday, July 31, 2008

Proposition Y: MSD Wastewater Rates

On August 5th, Proposition Y will be on the ballot. This proposition relates to MSD wastewater rates, which will be increasing. The wastewater program being proposed by the Metropolitan St. Louis Sewer District is in an effort to:

-Increase wet weather capacity at plants
-Develop an understanding of system defects
-Reduce extraneous water entering sewers from inappropriate connections and defects
-Reduce combined sewer overflow events
-Eliminate constructed overflows in separate system

The wastewater program features are what is necessary in order for the St. Louis Sewer system to comply with the Clean Water Act.
The proposition allots for two different scenerios for funding: a YES vote and a NO vote.

-YES on Proposition Y would permit MSD to use debt financing and bonds (backed by sewer fees) to make the necessary system improvements. An increase in your sewer bill will be as follows:

September 2008 = 0%
July 2009 = 2%
July 2010 = 5%
July 2011 = 4%

-NO on Proposition Y would fund the system improvements through current MSD rates and increases and is essentially 100% cash funded with zero use of bonds. An increase in your sewer bill will be as follows:

September 2008 = 12%
July 2009 = 11%
July 2010 = 9%
July 2011 = 5%

A breakdown of the potential average monthly bills over a span of four (4) years for the average single-family home is included:

(Information courtesy of MSD)

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