WATER RATES

As part of our regular operating procedure, the BWS conducts a rate study every 5 years to ensure that we have enough money to cover costs of our operations.

• A rate study is done for each 5-year schedule. It takes into account all of our capital improvement projects, operating and maintenance costs during this period. It analyzes what each customer class pays and then looks at what we will need for the next 5 years to meet these costs and ensure the water system keeps operating.
• Different rate scenarios are then vetted to balance affordability vs dependable and safe service. Ultimately a scenario is chosen and is vetted during public outreach and with our board.
• The rates enable the BWS to continue to provide customers with the current level of service customers expect.
• The BWS is financially self-supporting. It does not receive monies from City property taxes or fees, or from State taxes, to manage and operate Oʻahu’s water system. Monies collected from water usage pay for the BWS’s operations and capital projects.

The BWS conducts quarterly reviews of its operating budget. Also, it is always exploring opportunities to increase efficiency and reduce costs in every aspect of our operations.

The BWS is committed to cost-efficient operations. For the past 2 years, the BWS kept its budget flat as it:

• Cut budgets by 15% across all divisions.
• Explored ways to optimize energy management and facility operations.
• Deferred less-critical capital projects.
• Deferred purchases of equipment, such as vehicles, unless they were needed.
• Financial information including budgets can be found on our website at: Department Financial Statements - Board of Water Supply, or www.boardofwatersupply.com/dfs.

No, sewer services are provided by a separate City agency, the Department of Environmental Services (ENV). The BWS is responsible for your water services only. Revenue generated by the water rates are dedicated to funding capital and operation costs for the water system only. Please contact ENV with questions by calling (808) 768-3330.

The BWS cannot answer that. Sewer fees are set by the Honolulu Department of Environmental Services.

The water rate structure is designed to promote conservation. The less water you use, the less you're billed.

• The rate increases will most affect the highest water users, those who use 30,000 gallons of water or more a month.
• BWS offers conservation tips and resources for residential customers at www.boardofwatersupply.com/conservation/tips.
• We have rebate programs to help our customers reduce their water use by purchasing water efficient toilets, washers and weather-based irrigation controllers. For more information, please go to www.boardofwatersupply.com/watersensible, for details.
• Additionally, we have identified our top water users and are calling and talking to these residents and businesses.

• For our kūpuna - we are starting a pilot project to work with service providers to reach out to seniors living independently and on a fixed income who may be unaware they may have leaks inside or outside their homes. The project includes the following:
  • Conducting basic water audits (observing and measuring water from fixtures in the home),
  • Installing water-efficient faucet aerators and low-flow showerheads to help lower water usage.
  • We plan to start this program on Oahu’s west side.
  • BWS offers rebates for water conservation fixtures and appliances. More at www.boardofwatersupply.com/rebates.
• The BWS has an essential needs tier where all BWS customers pay below-cost-rate for their first 2,000 gallons use per month.
  • Low water users pay lower rates, and higher water users pay higher rates. This is done to encourage water conservation.
  • The Essential Needs tier will increase 2.5% per year starting February 1, 2024.
• Customers who need help paying their water bill may qualify for help from the Low-Income Household Water Assistance Program (LIHWAP).
  • Applications must be approved prior to March 31, 2024, and is subject to availability of funds.
  • Visit www.waterhelp.info or contact the Honolulu Community Action Program.

Townhomes are charged the multi-family residential rate.

• They usually have one master meter that serves the entire property.
• The BWS takes the total usage in that one meter, divides it by the number of dwelling units in the property, and then applies the tiered structure to calculate the bill.

Hotels, and all other non-residential customers, pay more than their cost of service (117% over the cost of service) and subsidize single-family and agricultural customers. This is a policy decision made by our board to lessen the impact to our largest customer class (single-family) and support state and city goals of food security.

• Using our tiered water rates, bills are actually lower for over 2/3 of our single-family customers, all but our higher water users.
• In fact, it is businesses like hotels that subsidize rates for our single-family, agricultural, recycled water, and non-potable customers. Single-family customers receive the largest subsidy of any of our customer classes, about $5.5 million per year.