Infrastructure Fee
The District assesses a monthly infrastructure fee based on the size of each customer’s water tap (see fee chart below). The fee is billed by Denver Water on each customer’s monthly water bill. The revenue is collected by Denver Water and remitted to the District.
Monthly Infrastructure Fee January 2023
| Size of Meter | Number of Equivalent | Monthly Fee |
|---|---|---|
| 5/8 – inch | 1 | $12.00 |
| 3/4 – inch | 1 | $12.00 |
| 1 – inch | 2 | $24.00 |
| 1.25 – inch | 3 | $36.00 |
| 1.5 – inch | 4 | $48.00 |
| 2 – inch | 8 | $96.00 |
| 3 – inch | 18 | $216.00 |
| 4 – inch | 36 | $432.00 |
| 6 – inch | 94 | $1,128.00 |
Platte Canyon has over 76 miles of water mains in the drinking water distribution system ranging in diameter from 4” to 18”. Within this system is a substantial amount of cast iron pipe, which fails regularly and results in unplanned outages, property damage, and emergency repair costs.
Each year the District updates its 10-Year Capital Improvement Plan (Plan) to prioritize the replacement of water mains. While the District has replaced a number of failing cast iron pipes over the past 20 years, the current Plan accelerates the rate of water main replacement to the industry standard, which is 1% of the total system length per year.
Fully funding the 10-Year Plan allows the District to be proactive rather than reactive when dealing with water main replacements, as projects are prioritized so water mains most in need of repair are replaced in a timely manner. It will also lead to reduced operation and repair expenses by avoiding costly unscheduled repairs and replacements of deteriorating water mains. Most importantly, the accelerated water main replacement program helps avoid unplanned water shutoffs in your neighborhood and reduces the potential for public safety, public health and property damage impacts.
The District’s Board of Directors believes this new approach to the Plan provides significant benefit to district customers. In order to fully fund the planned water main replacement projects, the Board adopted a monthly fee of $5.00 per ¾” equivalent on August 23, 2019. The fee is based on the size of the water service pipe serving each property and will be assessed on a monthly basis through the end of 2021.
With a continuous need for capital projects due to aging cast iron pipe nearing its end of life, combined with an increase in the cost of construction labor and materials, the district’s monthly service fee will increase to $12 per 3/4” meter starting January 1, 2022.
In 2022, construction costs are projected to increase by approximately 20% due to the ongoing supply chain challenges due to the COVID-19 pandemic. The district is currently experiencing costs increases that range from 20-70% on a variety of standard items including PVC pipe, fittings, and valves.
To meet the financial requirements of the scheduled pipe replacement projects and ensure the district can absorb the increased construction costs, the board of directors felt that it was necessary to increase the monthly service fee from $5 to $12 per ¾” equivalent (meter size) starting January 1, 2022. Without the increase in the service fee, the district runs the risk of depleting its cash reserves as well as risk to public health and safety if unable to perform the proper level of maintenance required to deliver safe, reliable drinking water to our customers.
If you have questions about the fee, please contact the District at info@plattecanyon.org or 303-979-2333.