Senate Announces that MWRA Ratepayers will Receive Rate Relief

Massachusetts Water Resources Authority (MWRA) ratepayers will see the yearly increase in their rates cut in half due to efforts by Senator Barrios and Senator Steven Tolman.  The Commonwealth Sewer Rate Relief Fund, included in the FY07 budget, allocates $25 million to the debt service assistance fund, which is a fund that MWRA and other water and sewer districts use to stabilize rate increases.  The legislators successfully overturned the Governor’s veto of the money.   

“At a time when taxpayers’ wallets are increasingly strained, we have acted to give ratepayers some significant relief in their water bills,” said Barrios.  “The Governor acted irresponsibly by not providing any money to cities and towns to cope with rising water and sewer costs, and this week we fixed that.” 

Earlier this year the MWRA announced a required 9.8% rate increase for cities and towns that receive water and sewer service from the MWRA.  It would have been the biggest rate increase in over a decade.  The $25 million restored by legislators this week will go directly to cutting that projected increase in half, saving ratepayers and the city of Boston an estimated $5,493,235. 

“Due to Senator Barrios and Senator Tolman’s actions, final MWRA wholesale water and sewer rate increases were cut in half from 9.8%, to an average of 4.9%,” stated MWRA Advisory Board Executive Director, Joseph Favaloro.  

Lawmakers created the rate relief fund over a decade ago to mitigate skyrocketing water and sewer rates that were needed to pay for cleaning up Boston Harbor and overhaul a deteriorating system with 100-year old water pipes. Most of these capital improvement projects were mandated by court order and federal regulations under the Clean Water Act.

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