Explanation of Rates

Charges Applied to Water and/or Wastewater Bill

Basic Service Charge – Water A fixed monthly amount that is associated with providing water service. The cost to read meters, send out bills, staff labor, etc., are all costs that are incurred without pumping any water. 

Volumetric Water Usage Charge: The volumetric water charge is an inclining block tiered rate structure with interval rates that increase with each billing tier.  This design is implemented to recover most variable costs and promote conservation of water resources.

Capital Reserve Charge: The Capital Reserve fee is a fixed charge that is applied to each customer’s bill monthly.   This fee is a bond covenant requirement and designed to recover any unexpected costs incurred by the District.

TCEQ Fee: The Texas Commission on Environmental Quality, (TCEQ) fee is a pass-through fee collected by the District to help fund services TCEQ provides to public water systems.  The fee is .5% of the customer’s monthly bill.

Lost Pines Groundwater District (LPGD): The District obtains water from groundwater sources that are regulated & governed by LPGD.  Ground Water Districts around the state manage the withdrawal of water from the aquifers. The entities that withdraw water from the aquifers are required to support the efforts of the ground water district.

Wastewater Charge: A flat fee that is applied to each customer that is connected to the sanitary sewer system. This fee is designed to cover the costs associated with maintaining the sanitary sewer system.