Hedlund and Bradley Commended For Bringing Relief to Hingham Ratepayers

(Legislature Overrides Governor’s Veto)

August 19, 2008

BOSTON – The MWRA Advisory Board recently commended the leadership of Senator Robert L. Hedlund and Representative Garrett J. Bradley, members of the MWRA legislative caucus, for their role in securing $20 million in the Commonwealth Sewer Rate Relief Fund (also known as Debt Service Assistance) in the FY09 Budget.  Sen. Hedlund and Rep. Bradley worked with their colleagues to override Governor Patrick’s veto in the final version of the budget, which would have reduced the appropriation to $15 million.  With the $20 million funding secured in the budget, Sen. Hedlund and Rep. Bradley are pleased that the Legislature has continued its strong commitment to providing water and sewer rate relief.

Katherine Dunphy, Chairman of the MWRA Advisory Board, which is considered the "watchdog" group for ratepayers, said "We are appreciative of this effort to fund Debt Service Assistance. We understand that this is a difficult budget year and the MWRA Caucus should be applauded for their hard work on behalf of ratepayers on Beacon Hill.”

Debt Service Assistance is crucial to stabilizing water and sewer charges that are passed on to consumers.  The MWRA and other water districts draw Debt Service Assistance from the Sewer Rate Relief Fund to stabilize wholesale rate increases.  "Debt Service Assistance has always been a top budget priority for me in the Senate.  As the cost of living continues to increase, it is critical that we fight for the interests of ratepayers.  Sewer rate relief produces a direct savings to ratepayers," said Senator Hedlund.

“I am happy that my colleagues and I were able to secure the necessary $20 million for the Commonwealth Sewer Rate Relief Fund in the FY09 Budget,” stated Representative Bradley. “With rising utility costs and tough economic times, I felt it was critical for this program to be properly funded and I am happy that Hingham rate payers will get this benefit.”

Of the $20 million appropriation in Debt Service Assistance, the MWRA’s share is approximately $15 million. Debt Service Assistance is directly responsible for the lower rate increase for ratepayers in FY09. More money in state assistance translates into lower rate hikes for MWRA ratepayers in Hingham. “The efforts of Sen. Hedlund and Rep. Bradley allowed the rate increase for Hingham to drop from 3.8% to 3.0%,” stated Joseph Favaloro, Executive Director of the MWRA Advisory Board. “With the significant rate revenue increases projected over the coming years, the Advisory Board looks forward to working with Sen. Hedlund and Rep. Bradley to pursue a long term plan for increasing Debt Service Assistance.”

Since its inclusion in the FY1994 budget, for which Senator Hedlund help lead the fight, the Sewer Rate Relief Fund has had a dramatic impact on many communities of the Commonwealth – especially those served by the MWRA.  It has served to quell rising rates and has directly saved ratepayers thousands of dollars over the years on their water and sewer bills.