The Water Department is operated as an enterprise system and as such must cover all costs through water rates and fees. After careful examination of the Department's budget, financial obligations and revenue projections, the Board of Water Commissioners voted to increase water rates for FY2010.  The combination of rising costs and decreasing revenue led to the rate adjustment.

The Water Department budget was developed based on guidelines set by the Finance Committee and despite efforts to the contrary, it increased by 5.5 % as compared to FY2009.  The primary reasons for this are:

• A 300% increase in the price of Potassium Hydroxide. This water treatment chemical is used to increase the pH of the water which reduces corrosion of plumbing materials.
• Indirect Costs increased by 13%.  These costs reimburse the Town for expenses paid on behalf of the Water Department.  They include collecting water payments, general accounting, police work, health care & pension benefits for Water Department employees, telephone service and legal fees.
• A 45% increase in short and long term debt service for the replacement of water mains on sections of Colrain Road, Gail Street, Grove Street, Haverhill Road, Ipswich Road, Main Street, Mansion Drive, North Street, Pine Street, Washington Street and Woodside Road.

Revenue for FY2009 was below projections due to wet summer weather and outdoor water restrictions. Similar restrictions are expected this summer.  In addition, our largest water user is constructing a new sprinkler system supplied by an irrigation well.  When complete, the new system will further reduce water consumption by up to several million gallons annually.

Click here for a complete listing of our rates & fees. The new rates were developed in an effort to spread the burden as evenly as possible across the customer base. The rate change is a combination of a higher service fee and higher rates paid per thousand gallons of water used.  Please contact the Water Department at (978) 887-1517 if you have any questions.