2023-WRS - 2023 Water Rate Study

The Town of Frederick has secured funds for the creation of a Water Rate Study to provide a short and long-term vision for the Town of Frederick. This document will serve as a guiding document for potable and non-potable water rates and fees that can be updated on a 5-year basis. The Town’s goals for the Rate Study are to be strategic with existing and future investments in the water systems and improve water service to our existing and future customers. The Rate Study should also recognize evolving technology and future trends in water rates.

Having a well-funded Water Enterprise is vital to the long-term fiscal health of the Town, helps the Town meet its sustainability goals and ensures the continued viability of its small-town character. Promoting water conservation and planning for future improvement and expansion of the system, with future technologies in mind, further advances these goals. The Town needs adequate funds to maintain and improve the potable and non-potable systems, and manage and increase water supplies for existing and future customers.

This plan will support and meet the Town’s Strategic, Reliable & Sustainable Infrastructure Goal. The goal states that “Frederick is dedicated to investing in existing and future transportation, water, stormwater, and technology while planning for sustainable growth and development.”

The Rate Study will help address the challenges of facilitating growth in a strategic manner, within the reasonable fiscal constraints of the Town’s budget and limited state and federal funding, and in a way that is responsive to anticipated changes. The Rate Study will be coordinated with regional plans and investments, and will provide equitability and support for all segments of our community. With influence from the Town of Frederick’s Short-Term and Long-Term water supply plans, Water Efficiency Plan, Comprehensive Plan, Current and past budgets, Potable Water Infrastructure Master Plan (underway), Raw Water Master Plan (to be updated in 2023) and other guiding documents, the Rate Study will outline the Town’s vision for our water rates and fees, the policies to support that system, and funding options for capital projects that are prioritized with consideration of water system and supply demands.