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6. What will the rate structure be like?

Our Public Utility Commission approved rate schedule is attached. For example, a residential customer that uses 4,300 gallons per month would pay $20.65/month or $247.80/year. This is broken out as follows: A $7.75 monthly meter charge plus $3.00/1,000 gallons, or $3.00 x 4.3 thousand gallons = $12.90, for a total of $7.75 + $12.90 = $20.65. Customers may also have to install a pressure reducing valve (if pressure is over 80 PSI and they don't already have one) and a thermal expansion tank (if they don't already have one). Cost to the customer for the expansion tank is about $100 (They would have to go through their plumber for these items). There are no application or connection fees.

7. Would we pay the same as other York Water customers?

All York Water "repump" customers pay the same amount. Stewartstown's customers would be in that category.

8. What would the borough and township pay for water service and hydrants?

The borough and township would pay a monthly fee of $19.09 per fire hydrant. Also, there would be no "free" water users. The municipal buildings and parks would have to pay for metered water service based on their consumption, just like all other customers.

9. Would York Water own and operate the existing wells?

York Water would investigate the existing wells and determine if they can be economically operated and provide water quality that meets York Water's standards for service to the customer.

Bulk Water Questions

1. Who pays for the pipeline?

The authority would pay for the pipeline from Deer Creek to their system. York Water would install a pipeline from our system to Deer Creek. I believe the township engineer estimated the cost to the authority at about $900,000. A bulk water agreement and construction could be completed in about 9 months (Contingent upon proper approvals). The authority would be responsible for construction and maintenance for everything on their side of the water meter at Deer Creek.

2. Who is responsible for right-of-ways?

The authority would be responsible for all right-of-way costs for their section of water main.

3. What would be the bulk water costs?

The bulk water cost would currently be based on the following formula: For each customer (currently about 1,000), the first 1,200 gallons/customer/month would be at $3.00 per 1,000 gallons. All of the water above that would cost $1.38 per 1,000 gallons. For example, if the authority purchased 70,000 gallons per day (2,100,000 gallons per month), the cost would be: $109 meter charge (for a 4" meter) plus 1,000 customers x 1200 gal/customer/month, or 1,200,000 gallons at $3.00/thousand = $3,600, plus the remaining 900,000 gallons at $1.38/thousand = $1,242, for a total of$109+$3,600+$1,242=$4,951 per month.

4. What would be the amount of water drawn from wells vs. bulk purchase?

In our initial discussions, the authority mentioned that they wanted to keep the existing wells. I understand now they are considering abandoning the wells or using them for emergency use only. I don't know what the cost is per thousand gallons from a well, but generally, a well is less expensive than surface water because it requires minimal treatment. It would appear to be more economical to operate the wells as much as possible as opposed to purchasing water from York Water, assuming that the wells comply with water quality standards.