2030 Plan - Grand Strand Water and Sewer Authority

wastewater utilities was 5.98%. By contrast, the annual compound increase in
wastewater bills for the typical residential customer of GSWSA during was 3.04%.
Most utilities in the United States have experienced annual water and wastewater rate
increases resulting in customer impacts that have generally exceeded annual inflationary
increases since the federal grant programs were phased out beginning in 1987. For
example, Consumer Price Index (“CPI”) data provided by the United States Bureau of
Labor Statistics for All Urban Consumers during the comparison period between 1998
and 2008 demonstrated an annual compound increase in inflation of 2.52%. During the
comparison period, the national survey groups for both water and wastewater
demonstrated customer impacts that exceeded the national rate of inflation. However, the
typical residential combined water and wastewater customer of GSWSA during that same
period experienced monthly bill increases on an annualized basis that were either below,
or consistent with the national rate of inflation.
Table 2 compares the impact of average annual increases in water and wastewater bills
for typical residential customers in the national survey group with the typical residential
customer of GSWSA from 1998 through 2008.
Table 2
Comparison of GSWSA Utility Rate Increases with Survey Groups and CPI
(a) Represents the annual compounded increases to the typical residential customer’s bill
between the first year and final year of the period being considered.
(b) CPI for All Urban Consumers.
Based on the comparison of the annualized rate adjustments for GSWSA from 1998
through 2008 with the national survey groups, the typical residential customer of
GSWSA has enjoyed exceptional financial impacts when compared to similar residential
customers on a national level.
(3) Comparison of User Charges with Other Local Utilities
To determine the competitiveness of GSWSA’s utility rates, RFC developed a
comparison of the typical monthly bills for a residential customer of GSWSA with those
of other local utilities. This comparison was developed based on information provided by
GSWSA staff which conducted a 2010 survey of the water and wastewater rates and
impact fees of other local utilities.
Table 3 presents the monthly water and wastewater bills for residential customers of
GSWSA and ten other utilities located in the Low Country region. Since GSWSA
provides service to customers located in both Horry County and within municipalities
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