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RCAP study flags affordability problems for Cairo Water District; board hears options
Summary
A RCAP rate study presented May 5 found many Cairo Water District households have low incomes and limited control over their bills; the study recommends rethinking base-charge usage allowances and the board discussed pursuing grants and repairs.
A RCAP Rate Study presented to the Cairo Town Board on May 5 concluded that many households served by the Cairo Water District are financially vulnerable and have limited ability to control water bills.
Jesse LeVine, the presenter for the RCAP Rate Study, said the district serves a population with relatively low incomes: about one in eight households have annual incomes at or below 200% of the federal poverty level, roughly 27% of households earn under $25,000 a year, and renter households comprise about half of customers and are more likely to be low-income. The study also noted that many customers receive Social Security and participate in SNAP at higher rates than state and national averages and that temporary federal assistance from the COVID-19 pandemic is no longer available.
The study cautioned that affordability should be a factor when setting rates and said rates need to ‘‘reflect the total cost of providing water and wastewater service’’ while giving customers more control over monthly bills. Specifically, the report recommended reconsidering the amount of usage included in the base charge, because a high included-gallons allowance can leave small low-income households paying the same base regardless of actual usage, reducing their ability to lower bills through conservation.
Resident Mike Lamanec told the board rising costs, including water-main breaks and repairs, are straining the district and urged the town to pursue grants to offset expenses. The board’s grant writer, Nicole, noted a Resilient Owners Grant due June 6 that funds watershed and water-related resilience projects and can award up to $150,000; information was shared with Council Member Bogins.
Board members did not adopt any rate changes at the meeting. The RCAP findings will inform future rate-setting discussions; the board and staff also said they are continuing technical work with Delaware Engineering to address system repairs, including troubleshooting a new well that has not functioned since installation.
