Affordability
Affordability
Pricing of water services for customers should be an accurate representation of the cost of providing safe water to consumers, maintain infrastructure and plan for future infrastructure replacement needs.
Implementing public education plans on water sector operations and costs can help to maintain customer satisfaction and help water utilities meet essential infrastructure needs.
Resources
Five leading water associations urge Congress to create a low-income water assistance program
The American Water Works Association (AWWA), Association of Metropolitan Water Agencies (AMWA), National Association of Clean Water Agencies (NACWA), National Association of Water Companies (NAWC) and Water Environment Federation (WEF) unveiled formal policy recommendations to Congress and the White House to establish a permanent federal low-income water assistance program.
As part of their recommendations, the groups released also released a detailed analysis, “Low-Income Water Customer Assistance Program (LIWCAP) Assessment Study,” which establishes that water affordability is a significant challenge for 20 million U.S. households and puts the annual need for federal funding to address this challenge as high as $7.9 billion.
New affordability document aims to better address affordability in Safe Drinking Water Act Rulemakings
This expert panel led report, facilitated by AWWA, discussed the methods that the U.S. Environmental Protection Agency’s (EPA) could perform analysis of household-level affordability when making regulatory decisions.
The expert panel recommended EPA expand its analysis of household-level affordability when performing economic analyses supporting future primary regulatory development under SDWA. Among the suggested changes is to move away from using Median Household Income (MHI) as the sole metric in assessing the impacts of the regulatory structure on affordability and focus more on impacts to households in the lowest 20 percent of income (lowest quintile).
Technical Resources
Reports
Manuals
Thinking Outside the Bill: A New Guide to Affordability and Customer Service
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Assessing the Affordability of Federal Water Mandates
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Developing New Framework for Affordability Report
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2019 Water Utility Manager’s Guide to Community Stewardship
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Water 2050 Economics Think Tank Report
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M1 Principles of Water Rates, Fees, and Charges
Your authoritative resource on water rates, fees, and charges.
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M29 Water Utility Capital Financing
Planning and obtaining financing for water utility capital projects. This edition addresses both traditional and innovative utility financing alternatives to meet both short-and long-term capital requirements.
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M54 Developing Rates for Small Systems
Best practices for setting rates, fees, and charges, especially for water utilities serving up to 10,000 population.
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Events With a Focus on Affordability
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Related Resources
Water and Wastewater Rate Survey
Introducing the new digital platform for accessing data on water rates! Now, you can easily compare your rates to meet revenue goals or compare with others in the area, all with just a few clicks. The updated digital platform provides a user-friendly interface, making it simple to access data on water rates from anywhere at any time.
Learn More
M1 Principles of Water Rates, Fees, and Charges
As issues associated with water rates and charges continues to evolve, so must the utilities approach to selecting and communicating their rates, charges, and pricing policies.
Read More
M54 Developing Rates for Small Systems
Limited data or resources don’t have to keep your small utility from developing a rate structure that recovers all your costs and is fair to your customers. This official manual of practice gives you the step-by-step guidance you need.
Read More
AWWA Policy Statements
AWWA’s policy statements are brief statements on protecting and improving water supply, water quality, management, and the interests of the public and the environment. They are written by consensus, subject to review and comment by AWWA committees, councils, and members. Because they represent AWWA’s position on these matters, they are approved by the AWWA Executive Committee of the board of directors.
Technical Committee Engagement
AWWA members are recognized globally for their industry expertise and their generosity in sharing that expertise for a better world through better water. AWWA members participate in committee activities, developing conference programs, writing technical manuals, developing standards, creating educational content and contributing to AWWA publications. Committee members primarily interact through conference calls, emails, and face to face meetings at conferences and events.
Finance, Accounting & Management Controls
Rates & Charges
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