Hello everyone –

This just in, from our district Director of Financial Services Edward Henley:

Hi,

This was printed late and was not in the electronic agenda for today’s meeting however it was on the agenda and was discussed briefly.  A special meeting has been called for August 4 to discuss the water and sewer rate changes.

There is also an explanation of the numbers used in the chart showing consumption and rainfall.

At the end are charts showing the proportion of water used by each class and the proportion of revenue received from each class.

The display I had at the town halls discussed how the per unit charges work (Strata and Hotel work the same way) and why it was done.  As you can see by the charts mentioned above, the percentage of revenue received from hotels exceeds the percentage of water they use.  The percentage of revenue from residential class is less than the volume they use.  So, hotel class users do pay more per cubic meter, on average, than residential class users.

Edward Henley, Director of Financial Services, District of Tofino

I haven’t had time to read the whole document carefully – but I am posting it here, and pasting a few interesting charts (with comments) from it below:

New water rates copy
These are the proposed new water rates for 2009 – still hard to understand without having them graphed out – but I am pleased to see that “Processing’s” rate has come up from the bargain-basement price it had before.  I still think that resident’s rates should always be less than commercial rates at the same volume increments, though.  (If you’re not sure what I mean by this, look at the second graph I published on Thursday’s post).  But this is still a good start, and it is not set in stone – it will be discussed at that August 4th meeting.

2008 Use and revenue

This graph shows, for 2008, water usage, vs. amount paid, by each class of user, at current 2008 water rates.  If the red line is higher than the blue line, it means that that user actually pays more for their water relative to how much they use – i.e. they help to subsidize other users.

2008 Use and Revenue new rate

OK, this graph is exatly the same as the previous one – except showing what the revenue would have been for 2008 had they been charging the new proposed 2009 rates.  Hmm… it’s not very different…

Although it is good to see that residents do pay slightly proportionately less than most commercial users, this is actually because some individual commercial users use such high volumes that they move into the very high rate class. You know how it is – those same numbers can be used in different ways to make it look one way or make it look the other.  That’s why that graph that Edward printed for me is so valuable – it shows, with no manipulation of stats, that we are paying more per unit.  Tuff City is tuff to live in – and it just does not seem right to me that for-profit users would get cheaper water than those of us trying to make a go of it here, at any usage level.

BIG THANK YOU to Edward for sending the community this info.

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