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2018 Stormwater Capital Rate Proposal

In 2016, area voters approved Proposition S, which resolved the issue of inequitable stormwater sewer operations and maintenance funding throughout MSD's service area. While Proposition S was a significant step in improving stormwater services, it does not provide an ongoing funding source for addressing future capital improvements, specifically for erosion and flooding problems.

MSD is submitting to its independent Rate Commission a proposal for a Stormwater Capital Rate that will generate revenues of $30 million annually to address localized flooding and erosion problems that are currently unfunded. The charge will be based upon the amount of impervious surface area -- such as concrete, blacktop, the footprint of the home (surfaces that do not absorb rainwater) -- each property has within MSD's service area.

The proposed rate was determined based on the recommended Stormwater Capital Improvement Program divided by the amount of impervious surface within MDS's service area. For the average single-family homeowner the annual charge will be $27 per year or $2.25 per month. All public and private property within MSD’s service area, including properties owned by governmental or nonprofit entities and those not receiving MSD wastewater services, would be subject to the Stormwater Capital Rate, if approved. Levee Districts currently in contractual agreements with MSD would be exempt, as these entities already provide stormwater services for their residents.  All creeks and streams would remain privately owned; local municipalities would retain floodplain management responsibilities.

MSD has identified approximately 500 stormwater issues throughout its service area that are categorized as flooding and erosion. At a projected price tag of $562M, the proposed funding would address currently identified localized flooding and erosion issues in approximately 30 years. If approved, the Stormwater Capital Rate would fund property buyouts, rainscaping, natural creek bank stabilization, the installation of stormwater drainage systems, and similar types of stormwater capital improvements. The Stormwater Capital Improvement Program is not a solution for large-scale flooding that our area has historically seen along major rivers, such as the recent flooding of the Meramec River in 2015 and 2017.

The Rate Commission has up to 165 days to review the proposal and make a recommendation to MSD's Board of Trustees. Utilizing its own rate experts, legal counsel, and other technical resources, the Commission will hold public hearings to accomplish it's work. Several of these public hearings are designed specifically for the public to offer feedback on the Stormwater Capital Rate proposal. Ultimately, voter approval is required for the rate to go into effect. The earliest the proposition could be placed on the ballot is April 2019. 

Below are additional resources related to the Stormwater Capital Rate proposal.