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WSSC Wants To Change Rate Structure

WSSC logo, via WSSCThe utility that provides water and sewage service in Montgomery and Prince George’s Counties says it needs a more predictable billing system to pay for mounting infrastructure costs.

The Washington Suburban Sanitary Commission wants to change the way its charges water customers by raising the cost of a 24-year-old fee and fixing another fee based on the meter size of each customer, not the amount of gallons of water each customer uses per billing period.

The WSSC announced the planned changes on Monday in a press release that included news of a public meeting on Wednesday in Rockville.

Those who wish to speak at the meeting — set for 7:30 p.m. in the Montgomery County Council’s 7th Floor Hearing Room (100 Maryland Ave., Rockville) — can contact WSSC’s Budget Group at 301-206-8110 or submit a written statement to BudgetGroup@wsscwater.com.

WSSC said customers “shouldn’t assume the changes will lead to higher bills,” though it didn’t say how much it hoped to increase the Account Maintenance Fee, an existing quarterly charge of $11 for residential accounts that hasn’t been increased since it was created in 1990.

The changes would also include a “fixed, infrastructure-reconstruction fee.” That means customers would be charged based on the size of their meter. Smaller, residential meters on homes would be charged less than larger, industrial sized meters at commercial properties, for instance.

In its press release, WSSC this would provide for “a more modern, equitable and predictable approach to gathering revenue.”

The utility has a network of almost 5,600 miles of freshwater pipeline and more than 5,400 miles of sewer pipeline with 1.8 million resident customers in the Maryland suburbs of D.C. Much of the WSSC’s water pipe infrastructure is aging and requires replacement.

“With these fees in place, WSSC would have a more predictable and reliable revenue base, with the intended result of lowering the size of rate increases going forward,” read the press release.

WSSC’s billing process has come under scrutiny in Bethesda, where Councilmember Roger Berliner and a county consumer agency have called into question recent bills that were hundreds and even thousands of dollars higher than normal for about 60 local residents.

The county’s Office of Consumer Protection bemoaned the lack of independent review in WSSC billing disputes. WSSC claimed that some customers might have received higher than usual bills this year because of the rougher than usual winter, which in some cases meant longer billing cycles.

In the press release, WSSC General Manager Jerry Johnson said water utilities across the county were facing “the quandary” of more customers heeding calls for water conservation.

“…95 percent of our revenues come directly from ratepayers,” Johnson said. “The decreased demand for water means WSSC has less money for maintenance and upgrades of its aging system.”

The changes, if approved in WSSC’s budget process, would go into effect in July 2015.

Don’t Settle for Student Loans to Pay for Online Education

Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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