Newcastle approves four-tier water rate plan to offset rising Oklahoma City wholesale costs

Newcastle — The City Council voted on Nov. 10 to adopt a four-tier volumetric water rate structure and to mirror future Oklahoma City wholesale increases so Newcastle’s charges track the city’s rising purchase costs.

City Manager Kevin (speaking as the presenter) told the council the reservation-commodity contract with Oklahoma City requires Newcastle to pay a reservation charge — a fixed daily amount — whether the water is used. He said the reservation is currently 2,048,000 gallons per day and Oklahoma City’s commodity rate was $3.28 per 1,000 gallons after recent adjustments. Kevin warned that, with the manufacturer-scheduled increases through 2028, Newcastle’s monthly wholesale bill could rise roughly $50,000 from current levels under steady usage, creating a…