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Utility Billing

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1. Is there a penalty for late payment?

Yes. The Town of Erie adds a fee to utility bills for delinquent payment. 

All customers are given a single-day grace period after their due date to pay their bill. After that day, a fee that is 1% of the unpaid billing amount is added to the account. 

Late Payment Penalties

All customers are given a single-day grace period after their due date to pay their bill. After that day, a fee that is 1% of the unpaid billing amount is added to the customer account. 

Fee Scenario

Let's assume your bill for the month of March was $100 and you did not pay that amount. A 1% fee (or $1) would be added to your account. For the month of April, your bill is $100 again, but now your customer account will reflect an unpaid balance of $201 - covering the month you didn't pay, the current month, and the 1% fee. 

Water Shut-Off Procedures

Customers are given one full month to make payment after the due date on their bill. If payment is not made in that month (or a payment plan is not created with the Utility Billing Division), their water service will be disconnected. 

Let's use the scenario above: your utility bill was due on Friday, March 24 and you did not pay the bill. A doorhanger would be posted at your residence on the Tuesday a month later - in this case, on Tuesday, April 26. If the required amount isn't paid in full (or a payment plan isn't created) by 10 a.m. on Thursday - our team will begin shut-off procedures on Thursday starting just after 10 a.m. 

A total fee of $40 is also added to any account that requires disconnection and reconnection. 

Once the necessary payment is made, customers can call to have their water service re-connected again ASAP. Disconnection and reconnection teams work weekdays from 7:30 a.m. to 3 p.m., excluding Town-observed holidays.

2. How is my utility bill calculated?

Your monthly utility bill has three components for water, wastewater, and storm drainage services.

Customers are charged for water service through a fixed service charge and a tiered volume charge. The fixed service charge covers billing costs and customer costs such as field service crews, meter replacement, and repair. The tiered volume charge recovers the cost to collect, treat, and distribute water, as well as fire protection. Water is charged on an actual basis and typically fluctuates each month.

Customers are charged for wastewater service through a fixed service charge determined by your average winter usage for December, January, and February. We do this because typically, all water used is used indoors in these months, so it is a reasonable estimation of your wastewater service needs. Wastewater charges are consistent month-to-month after being updated annually.

Customers are charged for stormwater drainage through a fixed monthly charge.

3. How does the Town supply our community with water?

The Town of Erie is committed to providing our more than 30,000 water customers with safe, reliable, high-quality water services essential to everyday life. The Town’s primary water source is the Colorado-Big Thompson Project, which originates on the western slope. Other sources include water stored in Windy Gap and Gross Reservoirs. In emergencies, we have access to Lafayette Water and Lefthand Water.

4. How does the cost of Erie’s water compare to our neighbors?

Diverting water from the western slope to the Front Range is a very lengthy, complex, and expensive process. Water is governed in Colorado by the Prior Appropriation Doctrine – or as it’s known in shorthand, “first in time, first in right.” Older cities typically hold senior water rights and younger cities typically have junior rights; Erie is among the latter group, which means our raw water costs are often higher than some of our neighbors.

But youth has its advantages too. For instance, in Colorado and nationwide, many utilities are grappling with funding the expensive prospect of replacing aging infrastructure. Fortunately, as Erie is a younger community, our water customers enjoy the benefits of our modern, efficient infrastructure.

5. How do I read my utility bill?

Summary of Responsible Parties' Information
In the upper right of the Utility Bill is the summary of responsible parties’ information; bill due dates, bill amount, and how the bill is set to be paid. (It will only say Paid By Draft if that is set up). 

Customer Account Information
Across the top are the responsible parties' name, address, and account number:

Current Billing Period
The next row is the information for the current billing period. Going from left to right; view the:

• Service status: in this example it says active – water is actively being supplied to this location.
• Service dates The town bills water service on a monthly schedule; in this case the range is the 4th of December to the 4th of January, a total of 31 days in this case. 
• Bill date: This is the date that the bill was generated by the Town of Erie The Penalty Date: This is the date after which a penalty fee will be assessed 
• Due date: This is the date on which the payment must have been received by the Town to avoid any penalty. 

Meter Readings and Volume
Moving down a row (and left to right) is the:

• Current meter reading
• Previous month’s reading
• Normalized volume used in this billing period
• Meter Readings: In the example below, the January reading of 472,662 gallons and the December reading of 468,635 gallons, and a billed usage of 4,000 gallons. Even though the math comes out to just over 4,000 gallons, the town rounds to 4,000. The rounding rules are pretty simple: The threshold is 500 gallons: anything less than 499 rounds down to the nearest thousand, and anything more than 500 rounds up to the nearest thousand.

Charges

• Summary of charges: This central section covers the breakdown of charges. Starting at the top, we see last month’s bill for $76.60 and the credit of ($76.60) showing that it was paid on time with no adjustments or penalties; with no past-due amount.
• Base water charge: In the example, the charge of $19.36 is determined based on the size of the water-line going into your house. 
• Water usage tier 1: In the example, the charge of $22.12 is the 4000 gallons used at the $5.53 per 1,000 gallons for this tier 1 use. Remember, the usage tiers are called out at the bottom of the bill. The cost is $5.53 per 1000 gallons used. So at 4000 gallons, this charge comes to $22.12 or $5.53x4.
• Storm drainage usage: This charge of $11.98 is a base fee for all residential accounts.

• Sewer Base Charge: This charge of $10.30 is a base fee for all users.Sewer Usage Charge: This charge of $28.35 is based on the volume of water used.

• Bar graph: In the example, the bar graph depicts 9 months of water volume use for this service address from May through January. This address used just under 10,000 gallons in May and over 30,000 gallons in August.

• Tiers:
  Tier 1 use is 0 through 5,000 gallons at $5.53 per gallon
  Tier 2 use is 5,001 through 15,000 gallons at $6.92 per gallon
  Tier 3 use is 15,001 through 25,000 gallons at $10.35 per gallon
  Tier 4 use is over 25,001 gallons at $15.49 per gallon
  If John Doe had used 7000 gallons of water, his usage charge would be $41.49:
  Tier 1, $5.53 x 5 = $27.65
  Tier 2, $6.92 x 2 = $13.84

• Single-family and Townhomes: Water monthly charge per 1,000 gallons:
  
  
  
  
  
  
  
  
  
  
  
  

6. What does my utility bill cover?

Your utility bill includes charges for water, wastewater, and stormwater drainage services. The rates you pay on your utility bill cover the costs to provide these services to you. These services are paid for by the revenue generated from utility billing, and these utilities receive no funding from taxes.

7. How are utility rates determined?

The Town of Erie financial policies require a formal rate study be performed on the utility fund (water, wastewater, and storm drainage) charges at least every five years. This is an industry best practice to ensure costs are recovered equitably from customer payments.

The most recent study was completed by Raftelis, a nationally recognized independent financial consultant specializing in rate and fee studies for water provider clients across the country. They recommended changes to rates and charges for water and wastewater, with no changes to stormwater drainage charges.

After review, the Board of Trustees then voted to establish the new rates and charges effective in 2021. The changes are revenue-neutral, meaning that the utility fund is anticipated to receive the same amount of revenue in 2021 as it did in 2020. Still, the changes do reflect a focus on the following:

• Providing customers more opportunity to manage water use and their bills
• Emphasizing affordability by reducing the monthly service charge
• Encouraging conservation and rewarding customers who use less water by increasing the volumetric rate

The Town is changing how we charge for water and wastewater service in 2021 to provide affordable, high quality, reliable service that rewards water efficiency. Did you know the cost of water and wastewater services are paid entirely by the rates you pay, not by taxes? Additionally, the Town can use the revenue from water and wastewater rates only for those services; in this way, the Town’s utilities operate as financially distinct “Enterprise” services. To make sure we are consistent with the enterprise approach, the Town, through a nationally-recognized independent consultant, recently reviewed how we charge for these services. Based on this review, we are adjusting rates into a new structure that balances these priorities: affordability, conservation, revenue stability, and equity. 

Under the new rates, higher users pay more and lower users to pay less because the rates more closely reflect the actual costs of service. In the new design, about 60 percent of customers will pay less than they do today, and 17 percent will see an increase of less than $50 a year. Learn more about the rates and the Town’s water conservation programs at www.erie.co.gov/waterrates.

With input from the Board of Trustees and Town staff, Raftelis designed a rate structure that balances these Town priorities:

8. How does the rate structure encourage water efficiency?

Water is a precious and limited resource in Colorado, and most utilities along the Front Range use tiered rates. Tiered water rates reward customers who use less water by charging the least amount per thousand gallons for use in the first tier, and increasingly more as customers use more water and graduate into higher levels.

The lowest rate tier corresponds to an amount of water sufficient to meet essential indoor household needs.  Each subsequent tier charges a higher rate and is designed to send a price signal to households when using water for outdoor irrigation.

9. How do we ensure that we don’t subsidize new and future neighbors who tie-in to the system?

Tap fees and raw water dedication fees ensure costs that growth incurs on our water, wastewater, and stormwater systems are fully recovered. Often paid by the developer – and passed along to the new homeowner in the purchase price – these are one-time fees charged by the Town at the permitting stage.

In 2021, a 3/4 inch tap fee will increase from $5,200 to $8,860. The raw water dedication fee will increase from $15,300 to $16,243.

10. Are there any changes to how wastewater is charged?

Yes. Monthly service charges are being reduced from $15.68 today to $10.30 in 2021. Volume rates – calculated in thousand-gallon increments based on how much water is used – will increase from $8.20 to $9.45.

11. We want to do more to conserve – can the Town help?

The Town offers a number of free or discounted conservation programs that help customers use water wisely. Customers that participate in the Town’s free irrigation consultations save at least 20% on their annual water bill on average. Learn more about these programs on the water conservation webpage.

Here are a few ways to reduce water usage and associated bill increases:

Indoor water usage: Discover Erie’s water efficiency rebates
Outdoor water usage: Signup for a sprinkler/irrigation consultation
Consider xeriscape options, and discounted Garden in a Box starter kits

Erie encourages xeriscape. Additionally, in March 2019, Colorado HB19-1050 was updated to encourage the use of xeriscape. The bill amended sections of the Colorado Revised Statutes prohibiting restrictive covenants, rules, or regulations (ie. HOAs) that limit the installation or use of drought-tolerant vegetative landscapes and deems those covenants, rules, or regulations as contrary to public policy. Associations may adopt and enforce design, and aesthetic guidelines or rules, regulate the type, number, and placement of drought-tolerant plantings.

12. Are there any other ways the Town is helping customers have greater visibility on water use?

We are! Since 2016, the Town has been replacing residential water meters with Smart Meters that conform to all industry standards. Once installed, your new Smart Meter will give you access to your water consumption data, providing an opportunity to gain a greater understanding of and control over the water you consume on a daily, monthly, and annual basis.

The EyesOnWater customer portal stores all of your water usage in one place. View your history, discover your water trends, detect leaks, and personalize a water savings plan.  Today, more than 60 percent of Erie’s meters are Smart Meters. Learn more about the EyeOnWater tool on the Smart Meter webpage.

13. When do you read the water meters?

Water meters report usage. The Town collects the usage on a rotating basis throughout the month according to the cycle billing schedule. Since 2016, the Town has been replacing residential water meters with Smart Meters that conform to all industry standards set by the American Water Works Association. Once installed, your new Smart Meter will give you access to your water consumption data, and gain a greater understanding and control of the water you consume on a daily, monthly and annual basis. The EyesOnWater customer portal stores all of your water usage in one place. View your history, discover your water trends, detect leaks, and personalize a water savings plan.  Today, more than 60 percent of Erie’s meters are Smart Meters. Learn more about the EyeOnWater tool on the Smart Meter webpage.

Additional cycle billing information..

14. I’m struggling to pay my water bill – are there resources to help?

Customers may contact the Town’s Utility Billing team to learn more about case-by-case payment arrangements for those having difficulty paying their bills.

Also, part of the Town’s commitment to affordability is working with customers to investigate possible causes of high water usage. If you have questions or concerns, please reach out to our team anytime via email at contactus@erieco.gov, by phone at 303-926-2700, or online via ErieSubmit.

Low-Income Household Water Assistance Program
The Colorado Department of Human Services (CDHS) received $15 Million in federal funding for the Low-Income Household Water Assistance Program (LIHWAP) to assist low-income households with their overdue water and wastewater bills.  

The Town of Erie highly encourages residents struggling to pay their utilities to apply for this program. Funds are extremely limited and are distributed on a first come, first serve basis.   To qualify for this assistance, the household must: Apply and been approved for LEAP during November 1, 2021 - April 30, 2022. Complete the addendum within the LEAP application and submit a copy of your overdue utilities bill.  Services must be disconnected, facing disconnection, or have a past due amount on the bill. 

15. What kind of payments do you accept?

We currently have a number of payment options available and accept cash, check, money orders and/or credit cards (Visa, Mastercard, Discover, American Express).

Online Payments and Credit Card AutoPay: To make your payment online or set up credit card autopay, please log into your account. Detailed instructions for setting up your credit card autopay.

Automatic Payments Using a Checking Account (ACH): Please fill out the ACH Authorization form and either drop it off, mail it back, or email it to utilitybilling@erieco.gov.  More information regarding automatic (ACH) payments.

Mail or Drop Off: Please enclose the bill stub or write the service address on the check. Payments can be mailed to the Town of Erie, Finance Department, PO Box 750, Erie, CO 80516. Payments can also be dropped off at the Town Hall receptionist/cashier desk or in the black drop box at the front of the Town Hall. The Town Hall is located at 645 Holbrook Street.

16. When do you send out the bills?

We send out bills on a rotating basis throughout the month according to the cycle billing schedule.  Bills are mailed approximately one week after the read date for each cycle. Additional cycle billing information.

17. When is my bill due?

Bills are due one day prior to the next read date for your cycle.  For more information regarding the scheduled read dates, please view the cycle billing schedule.

18. How is the drinking water quality?

The Town of Erie provides a high-quality supply of available drinking water to over 10,350 residential and commercial customers 24 hours a day, 365 days a year. We continue to meet increasingly high water quality standards in a cost-effective manner for the citizens of Erie. We are proud that Erie meets and exceeds all federal and state drinking water standards. We do this while protecting the environment, community, and economic interests that we all value.

 Read more about Erie’s water quality in the Consumer Confidence Report.