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Local Water Supply Plan Template —December 8, 2015 Table 27. Rate structures for each customer category (Select all that apply and add additional rows as needed) Customer Category Conservation Billing Strategies in Use * Conservation Neutral Billing Strategies in Use ** Non -Conserving Billing Strategies in Use *** Residential ❑ Monthly Billing 0 Increasing block rates (volume tiered rates) ❑ Seasonal rates ❑ Time of Use rates ❑ Water bills reported in gallons ❑ Individualized goal rates ❑ Excess Use rates ❑ Drought surcharge ❑ Use water bill to provide comparisons ❑ Service charge not based on water volume 0 Other (describe) —time of day irrigation ❑ Uniform 0 Odd/Even day watering ❑ Service charge based on water volume ❑ Declining block ❑ Flat ❑ Other (describe) Commercial/ Industrial/ Institutional ❑ Monthly Billing 0 Increasing block rates ❑ Seasonal rates ❑ Time of Use rates ❑ Bill water use in gallons ❑ Individualized goal rates ❑ Excess Use rates ❑ Drought surcharge ❑ Use water bill to provide comparisons ❑ Service charge not based on water volume ❑ Uniform ❑ Service charge based on water volume ❑ Declining block ❑ Flat ❑ Other (describe) Other (describe) —time of day irrigation ❑ Other * Rate Structures components that may promote water conservation: • Monthly billing: is encouraged to help people see their water usage so they can consider changing behavior. • Increasing block rates (also known as a tiered residential rate structure): Typically, these have at least three tiers: should have at least three tiers. o The first tier is for the winter average water use. o The second tier is the year-round average use, which is lower than typical summer use. This rate should be set to cover the full cost of service. o The third tier should be above the average annual use and should be priced high enough to encourage conservation, as should any higher tiers. For this to be effective, the difference in block rates should be significant. • Seasonal rate: higher rates in summer to reduce peak demands • Time of Use rates: lower rates for off peak water use • Bill water use in gallons: this allows customers to compare their use to average rates 37