Why are customers returning to quarterly billing in 2020?

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Why is NMB Water returning to quarterly billing?

In 2018, NMB Water transitioned from quarterly to monthly billing as requested by
customers and in hopes of simplifying bill paying. We were mistaken, and we are working
quickly to return to quarterly billing for the convenience of our customers. NMB Water
customers will again be billed quarterly starting in January 2020.

Who is affected by the change?

Only single-family home customers will see a change in billing frequency. Multi-family and
business customers have and will continue to be billed monthly as is customary.

Why will customers see a fee increase with the return to quarterly billing? 

Quarterly billing results in reduced revenue stability due to less ‘fixed rate’ revenue recovery. As a result, an 18.5% increase in usage charges is needed in the first year (2020) to make up for the reduced revenue. Following the 18.5% increase in year one, NMB Water customers will see 4.5% rate increases in years 2-5. These increases are needed to secure bond financing and to complete capital improvements projects.

What capital improvements projects will be covered by the increases and why do we need them? 

Approximately $106M in capital improvements are planned from 2020 to 2025. Improvements include, but are not limited to, expansions, repairs or upgrades of water mains, pumps, and electrical systems. These improvements are needed to continue to ensure that we can provide dependable service that surpasses all standards.

Why have I received “erroneous” bills?

We understand that because of the recent changes some customers received irregular
bills. Our customers should contact NMB Water immediately if they think their bill is
incorrect. We thank all our customers for expressing their concerns and preferences and
apologize for any confusion the recent changes in bill frequency may have caused. For
assistance, customers may call 305-NMB-WATER.

Why do customers residing outside of North Miami Beach pay a surcharge for NMB Water service? 

Customers who reside outside North Miami Beach pay a 25% surcharge allowed by state law that makes it possible for NMB Water to serve more than 130,000 customers in other municipalities. This surcharge helps us maintain and improve our operations to provide services that surpasses all standards to a growing number of customers.

Why is the City of Miami Gardens, though not its residents, exempt from the surcharge?

NMB Water waived the surcharge for the City of Miami Gardens as part of the City of North Miami Beach’s efforts to resolve a legal dispute and to be a good municipal neighbor. This waiver applies only to Miami Gardens’ municipal utility bills.

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